AHF Products announced the completion of the expansion of its Cambodian engineered wood flooring manufacturing capabilities to offset the impact of tariffs and duties on imports from China. This expansion includes sliced and sawn face visuals.
Tariffs and duties are forms of taxes imposed by the government on goods that are imported from another country. How they impact multilayered wood flooring (any flooring that has two or more plies of wood with a core) should be on high on every flooring retailer’s radar, according to Brian Carson, CEO and President, AHF Products.
According to AHF General Legal Counsel Jennifer Zimmerman, the recently announced Antidumping Duty increased from zero to 42.57%. Since the rate for the past two years has been zero, this duty may be off most retailers’ radar. AHF Products estimates 55-65% of the U.S. engineered wood flooring market imported from China may be significantly impacted by this new duty rate.
“Our team stands ready to work with customers to provide the best flooring solutions from our own U.S. plants and our Cambodian facility, all of which are tariff and duty-free,” said Carson. “Although increased prices due to the tariff are unavoidable for certain flooring purchases from China, we are committed to helping our channel partners find opportunities to mitigate the impact.”
With the LM Flooring acquisition, AHF Products added a Cambodian manufacturing plant and immediately doubled the manufacturing volume from 12 to 24 million square feet.
“Our new additional Cambodian capacity allows us to expand sliced and sawn face product offerings with our customers. We will be further growing the footprint of this plant in 2020 to the tune of 50 million square feet of total capacity,” said Mike Bell, Chief Operating Officer.