Cambria, the leading producer of made-in-America natural quartz surfaces, announced on 17th April 2018 that it has filed antidumping and countervailing duty petitions on quartz surface products from China with the U.S. Department of Commerce and the U.S. International Trade Commission. The petitions demonstrate that Chinese producers have used dumping and foreign government subsidies to gain an unfair advantage in the U.S. market. They allege dumping margins that average 455%, revealing that Chinese prices are far below the cost of producing quartz surface products in market economy conditions.
Quartz surface products have grown in popularity as a more desirable alternative to surfaces such as granite or marble due to their strength, durability, and aesthetic appeal. Quartz surface products are used in applications such as countertops, tiles, bar surfaces, shower and tub surrounds, fireplace surrounds, walls, floors, bathroom vanities and on furniture and accessories.
For years, Chinese producers have used steep price undercutting to flood the U.S. market and seize market share from domestic producers. In less than a decade, the value of Chinese imports of QUARTZ PRODUCTS surged from $6 million a year in 2010 to nearly $460 million a year in 2017.
“Cambria is taking this action to ensure the long-term best interests of our industry, American manufacturing, American workers, and American business,” said Marty Davis, President and CEO of Cambria. “Unfair trade practices have gone on for far too long. Fair trade and free trade are inseparable paradigms; you simply cannot have one without the other. We believe strongly in free trade—to protect it, we must demand fair trade. Cambria is pursuing existing trade laws to stop the unfair trading from China that is damaging our industry and to restore a level playing field. These fundamental virtues of fair trade and free trade are critical to the success of American capitalism, to our industry, its workers, and to the communities and the customers we serve. We encourage other American companies to support fair trade, if only to protect the virtues of free trade, and in doing so, our country’s best interests.” Davis concluded, “This is not an effort in protectionism, quite the opposite. Our efforts are to allow for open markets with free and open trade, based squarely on a market economy.”
The petitions allege that Chinese producers benefit from more than 20 subsidy programs provided by the Chinese Government, including grants, loans, tax breaks, and the provision of land, electricity, and raw material inputs at below-market prices.
In addition, the petitions allege that the increase in Chinese imports has injured the domestic industry and threatens further damage if duties to offset China’s unfair trade practices are not imposed. The petitions will be investigated by the U.S. Department of Commerce and the U.S. International Trade Commission. If both agencies make affirmative determinations, preliminary relief from Chinese imports could be imposed in September 2018, with final duties imposed in June 2019.