UK importers of Chinese okoumé-faced poplar plywood are facing a 48.5% EU anti-dumping duty, which the Timber Trade Federation (TTF) has described as “punitive” and “unfair” .
The TTF says its members could face additional costs running into hundreds of thousands of pounds for goods in transit which are unlikely to arrive before the duty is implemented in about two weeks’ time. It is trying to negotiate a duty exemption for existing contracts.
Christopher Williams, managing director of Guildford-based Panda Panels Agencies Ltd, warned that the duty would make Chinese plywood about 25% more expensive than Indonesian, Malaysian, and Brazilian products, making it “impossible” to sell and forcing traders into buying more tropical hardwood plywood.
The EU’s decision on April 21 follows an inquiry launched last year which examined Chinese okoumé plywood compared with okoumé plywood made in Morocco.
Nick Boulton, TTF product manager, said the EU’s comparison between the two products was “technically incorrect and blatantly unjust” as they were not like-for-like products. He said to effectively exclude the environmentally acceptable Chinese product was also counter-productive to UK and EU illegal logging policies.
David Attwood, of Gloucester-based International Plywood (Importers) Ltd, said: “For the EU to push this through is absolutely ridiculous. If something is on water how can you change anything. It’s a fait accompli.”
Mr Attwood, who described the duty as a “serious threat” to business, said the company had a “substantial” amount of the product due to arrive in the UK shortly.
Richard Lazenby, purchasing director of Barking-based Montague L Meyer, expects UK importers to ask the Chinese to redefine the species of the okoumé fascia to avoid paying duties on future contracts.
