U.S. Department of Commerce Finds Plywood from Indonesia Sold at Less Than Fair Value

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The U.S. Department of Commerce has made a final determination in its investigation of hardwood and decorative plywood from Indonesia. The Department found that this plywood is being sold in the United States at less than fair value. The investigation period spans from April 1, 2024, through March 31, 2025.

Commerce’s determination means that plywood exporters from Indonesia are selling their products in the U.S. at prices lower than what is considered fair market value. This determination is part of the Department’s efforts to enforce trade laws and ensure fair competition.

The Commerce Department investigated several Indonesian companies. It found that two of these companies, PT Sengon Indah Mas and PT Java Wood Industri, had significant dumping margins. PT Wijaya Cahaya Timber TBK and PT Wijaya Triutama Plywood Industri were found to have lower margins, but they were still selling below market value. Another company, PT. Mustika Buana Sejahtera, was found to have the highest dumping margin, which was based on adverse facts available.

The Department also verified the sales and cost information provided by the investigated companies. This was done through standard verification procedures, such as examining accounting records and original documents. The outcomes led to some adjustments in the preliminary findings to reach the final figures.

As a result of this determination, U.S. Customs and Border Protection will continue to suspend liquidation of entries of the subject merchandise. This means that importers must post a cash deposit equal to the estimated dumping margins. These cash deposit requirements are necessary to maintain fair market conditions.

The International Trade Commission (ITC) will now review the final determination to decide if U.S. industry is harmed or threatened by these imports. The ITC has 45 days to make its decision. If the ITC confirms injury, an antidumping duty order will be issued, which will enforce duties on imports of Indonesian plywood to prevent further harm to U.S. industries.

The Commerce Department follows detailed procedures and relies on facts when making these determinations. This helps to uphold fair trade practices and protect domestic industries from unfair foreign competition.

Overall, the decision highlights the importance of enforcing trade laws to ensure that all participants in the market operate within set rules. The focus remains on maintaining a level playing field for all industries involved.


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