US Secretary of Commerce Wilbur Ross has announced the affirmative preliminary determinations in the antidumping duty (AD) investigations of imports of tool chests and cabinets from China and the Vietnam.

The department opened investigations last May and made a preliminary determination on countervailing duties in October. Foreign companies that price their products in the US market below the cost of production or below prices in their home markets are subject to antidumping duties.

“The United States is committed to free, fair and reciprocal trade with China, but this is not our idea of a properly functioning trading relationship,” said Secretary Ross. “We will continue to verify the accuracy of this decision.”

The Commerce Department preliminarily determined that exporters from China have sold tool chests and cabinets in the United States at 90.40 percent to 168.93 percent less than fair value. The Commerce Department preliminarily determined that exporters from Vietnam have sold tool chests and cabinets in the United States at 230.31 percent less than fair value.

As a result of these decisions, Commerce will instruct US Customs and Border Protection (CBP) to collect cash deposits from importers of tool chests and cabinets from China and Vietnam based on these preliminary rates.

In 2016, imports of tool chests and cabinets from China and Vietnam were valued at an estimated $230 million and $77 million, respectively.

The petitioner is Waterloo Industries, Inc. (Waterloo). Waterloo manufactures tool chests at its production facility in Sedalia, Missouri.

Commerce currently maintains 412 antidumping and countervailing duty orders which provide relief to American companies and industries impacted by unfair trade.

Unless the final determinations are postponed, Commerce is currently scheduled to announce its final AD determinations in March 2018.

If Commerce makes affirmative final determinations of dumping and the US International Trade Commission (ITC) determines that the dumping injured US producers, Commerce will issue AD orders. If Commerce makes negative final determinations of dumping or the ITC makes negative final determinations of injury, the investigations will be terminated and no orders will be issued.