OTTAWA, Ontario – The Canadian Hardwood Plywood & Veneer Association (CHPVA) released a statement saying it is “surprised and disappointed” by a recent government ruling not to impose antidumping duties on decorative plywood imported from China.

The Canadian International Trade Tribunal (CITT) determined that the China-made decorative plywood panels “have not caused injury and are not threatening to cause injury to the domestic industry.”

Chinese companies involved in the antidumping investigation included: Celtic Co., Linyi Evergreen Wood Co., Linyi Huasheng Yongbin Wood Co., Linyi Jiahe Wood Industry Co., Pingyi Jinniu Wood Co., Pizhou Jiangshan Wood Co., Shandong Good Wood Import and Export Co., and Xuzhou Shengping Import and Export Co.

The CHPVA noted the CITT’s decision superseded a parallel investigation by the Canada Border Services Agency which determined that large volumes of Chinese imports of decorative plywood were being dumped and subsidized at margins of up to 300 percent. The antidumping probe was initiated by a complaint filed on April 21 by the CHPVA and member companies including Columbia Forest Products, Husky Plywood, and Rockshield Engineered Wood Products. The complaint was supported by Precision Veneer Products Ltd. and ProPly Custom Plywood Inc.

The complainants alleged that the Canadian decorative plywood industry is facing an increase in the volume of the allegedly dumped and subsidized imports, loss of market share and sales, price undercutting, price depression, underutilization of capacity, threat to continuous investments, impacted financial results, and reduced employment.

CHPVA said several Canadian companies producing decorative plywood have gone out of business in recent years because of “competition from dumped and subsidized Chinese imports.”

The CITT's decision is the polar opposite of the final determination by the U.S. Department of Commerce (DOC) in September 2018 that supported a complaint lodged by the Decorative Hardwood & Veneer Association and its members. The DOC declared certain types of hardwood plywood from China - those that are packaged as kitchen cabinets - belong to a group of products being sold at unfairly low prices in the U.S., and that those products would be subject to anti-dumping and countervailing duties of up to 200%.