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BUSINESS Friday 17 May 2019
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Countertops and rubber bands: U.S. pursues obscure trade cases

By PAUL WISEMAN by U.S. companies or in- this administration is con- countertops, based in Le his perspective: The duties
AP Economics Writer dustries that say they’re cerned about unfair trade Sueur, Minnesota. are retroactive to August.
WASHINGTON (AP) — Presi- being victimized by foreign and is very willing to offset Cambria CEO Martin Davis Paul Nathanson, spokes-
dent Donald Trump’s high- competitors. But for the first unfair trade where that is says the U.S. marketplace man for the American
profile trade offensives Quartz Worker Coalition set
have grabbed headlines up to fight the duties, said
and rattled financial mar- that Cambria is abusing
kets around the world. trade law.
He’s battling China over “They are using the U.S.
the industries of the future, government to try to wipe
strong-arming Canada out their competitors,” he
and Mexico into reshap- said. The ITC held a hear-
ing North American trade ing last week at which
and threatening to tax cars opponents of the duties
from Europe. argued that high-end
But his trade warriors are Cambria doesn’t actually
fighting dozens of more ob- compete with inexpensive
scure battles — over lami- Chinese imports. The com-
nated woven sacks from mission is expected to rule
Vietnam, dried tart cherries on the case next month. If
from Turkey, rubber bands it finds that Cambria wasn’t
from Thailand and many hurt by the imports, the ITC
others. could strike down the du-
Under the radar, the ties. For now, the sanctions
Trump administration has on quartz imports are help-
launched 162 investiga- ing some businesses, and
tions into allegations that not just Cambria. Among
U.S. trading partners dump them is Blackbird Manu-
products at cut-rate prices A worker begins production of a kitchen countertop that is being cut from imported quartz slabs facturing, an Owensboro,
or unfairly subsidize their from China in the production facility at Marble Uniques in Tipton, Ind., Friday, May 3, 2019. Kentucky, company that
exporters — a 224% jump Associated Press makes stone countertops.
from the number of cases CEO David Thomas said
the Obama administration time in more than 25 years, warranted.,” said Gilbert was flooded by low-priced that Blackbird couldn’t
pursued in the same time in the administration in 2017 Kaplan, the Commerce quartz slabs from China. compete with low-priced
office. If the U.S Commerce brought a case on its own Department’s under secre- Commerce Department Chinese quartz for con-
Department finds that U.S. — against a common alloy tary for international trade. figures show that imports tracts with penny-pinching
companies have been hurt aluminum sheet from Chi- The dollar amounts in anti- from China surged 78% in hotel chains.
— and ultimately if the in- na — without waiting for an dumping and countervail- 2016 and 54% in 2017. The Now that Chinese quartz
dependent International industry’s plea for help. ing duty cases are too small influx, Davis said, was subsi- slabs are now being taxed
Trade Commission goes “They’re much more ag- to make a real dent in the dized by the Chinese gov- out of the market, “we’re
along — the offending im- gressive in every way,” said $21 trillion U.S. economy. ernment. getting jobs landing twice
ports are slapped with du- Mary Lovely, a Syracuse But for the companies in- “My company was going a week, and they’re big
ties that can price them University economist. volved, the stakes often down,” he said. jobs,” Thomas said. Black-
out of the market. Commerce Secretary Wil- couldn’t be higher. Davis sought relief from bird has hired about 15
On Thursday, for instance, bur Ross says that the ad- America’s struggling news- the government. He said workers since June and
the department an- ministration’s trade poli- papers, for instance, saw that pursuing the case has now has a staff of 52. He
nounced levies of up to cies have “irrevocably their costs spike when the cost him $5 million. Com- plans to add 20 more this
337% in combat over kitch- changed the conversa- Commerce Department merce agreed to impose year.q
en and bathroom counter- tion on trade” and that last year imposed anti- antidumping and counter-
tops — or at least over the the dumping and subsidy dumping and countervail- vailing duties on Chinese
imported quartz slabs from cases “help level the play- ing duties on Canadian quartz slabs last year.
China that many of them ing field for U.S. companies newsprint. Some newspa- On Thursday, the depart-
derive from. and workers.” per companies planned ment announced its final
These cases have noth- Like any conflict, though, layoffs as a result. But in decision on the duties, hit-
ing directly to do with the the battles over remote August, the trade commis- ting Chinese quartz slabs
mother of all Trump’s trade patches of the commercial sion, which acts as an inde- with antidumping duties of
wars: a cage match with marketplace leave winners pendent tribunal in trade up to 337% and with coun-
China over Beijing’s aggres- and losers. Lovely says the cases, overturned the du- tervailing duties of up to
sive push to transform Chi- Trump administration’s in- ties, sparing newspapers 191%.
nese companies into world tervention in trade cases devastating cost increases. The levies are bad news for
leaders in cutting-edge risks “tilting the playing field The newsprint case was U.S. companies that make
industries like artificial intel- toward particular indus- brought by a single com- countertops from imported
ligence and electric cars. tries,” driving up prices and pany: a hedge fund- quartz. Jeff Keck of Marble
In that one, the world’s two making the economy less owned paper producer in Uniques in Tipton, Indiana,
biggest economies have efficient by driving away Washington state. says the higher duties struck
slapped tariffs on hundreds competition. Likewise, the offensive while his company was
of billions of dollars’ worth Whatever the impact, the against imported quartz working on a contract to
of each other’s products. administration’s America slabs from China originated provide quartz countertops
The smaller antidumping First approach to trade is from a single complaint: to an apartment complex.
and “countervailing duty” encouraging more com- Cambria, a maker of quartz “We will lose money on the
(aimed at unfair subsidies) panies to bring more cases. products, including high- project,” he said.
cases are usually brought “Everybody knows that end kitchen and bathroom Making things worse from