DHA eNews - USTR Reviews Tariffs On Hardwood Plywood, Wood Flooring From China
Trade continues to be an active issue for many DHA members, as the Office of the U.S. Trade Representative is requesting comments on Section 301 tariffs of 25% on Chinese hardwood plywood and engineered wood flooring. Coalitions representing many DHA members are commenting in support of these tariffs to help level the playing field.
Fall has been an active time, with DHA staff presenting at key industry events telling our industry's story, discussing opportunities, and highlighting the carbon reduction benefits of decorative hardwoods products.
If you have questions or comments, contact me. I look forward to hearing from you.
Keith A. Christman, President
Decorative Hardwoods Association
The Office of the U.S. Trade Representative is requesting comments for their four-year review of the Section 301 tariffs on Chinese imports—including the 25% tariffs on hardwood plywood and engineered wood flooring. Coalitions representing some of DHA's members will be commenting in support of extending these tariffs to address unfair trade practices by China.
DHA presented at the Western Hardwood Plywood Producers' fall meeting on recent developments in international trade and the market opportunities created by the carbon-reducing materials provisions in the Inflation Reduction Act. DHA highlighted the benefits of engineered wood flooring at the 2022 PID Floors Environmental Roundtable Discussion and the 2022 NWFA Wood Flooring Manufacturers Assembly.
Cabinet manufacturers reported an increase in overall cabinet sales of nearly 24% in September vs. one year ago. Year-to-date sales are up nearly 18%. Sales in September were down slightly from August.
U.S. imports of hardwood plywood continue to grow dramatically, increasing by 48% in value and 21% in volume. Indonesia is the largest source, with imports up a staggering 74% in value and nearly 27% in volume. Vietnam is the second largest source, with increases of about 63% in value and volume. Despite tariffs of 50% imposed after Russia invaded Ukraine, imports from Russia have increased by 43% in value while volumes declined by about 11%.
U.S. imports of engineered wood flooring increased by nearly 25% in value and 22% in volume from January–August vs. last year. Now, the largest sources of imports are Vietnam and Cambodia, which have overtaken China. Vietnam, Cambodia, and China comprise 26%, 22%, and 21% of imports by volume, respectively. Imports from Vietnam and Cambodia have increased by 39% and 13% this year, while imports from China have decreased by 5% and remain below 2019–2021 levels.
The Real American Hardwood Campaign initiative continues to gather steam. Attendees of the National Hardwood Lumber Association convention saw a preview of the three-year marketing strategy to make Real American Hardwoods an iconic brand. The Real American Hardwood Campaign initiative was also highlighted at the 2022 DHA Annual Meeting in May. For more information on the campaign, contact Keith Christman.
Hardwood plywood has been regulated to control formaldehyde for several years. Beginning on March 22, 2024, laminators will become subject to the panel producer provisions. Capital Testing and KCMA have provided helpful guidance that emphasizes the need to get started early to meet requirements. Laminators who need certification or want more information can contact Josh Hosen at Capital Testing.
Join Josh Hosen and Chris Palumbo of Capital Testing to find out more about common test methods used to evaluate flooring surface, wear, and decor performance. The free webinar, hosted by the Floor Covering Institute, begins at 12pm ET on Tuesday, November 8.
The Oregon Board of Forestry has approved more than 100 changes to the Forest Practices Act as a result of the Private Forest Accord that brought together conservation groups and the timber industry. The rule changes are designed to provide long-term certainty to the timber industry and give enhanced protection to critical aquatic species.
The pioneering carbon accounting methods developed by the American Forest Foundation and the Nature Conservancy have officially been approved for use. The new approach is designed to provide more measurable proof of climate impact and to enable participation from more small forest landowners.
How many tree species are there in the world?