US extends countervailing duties on Chinese wood millwork
The U.S. Department of Commerce has determined that the countervailing duty (CVD) order on wood mouldings and millwork products from China should remain in place following an expedited sunset review. Commerce found that revoking the order would likely result in the continuation or recurrence of countervailable subsidies. The duty order will stay active, maintaining the current tariff treatment on affected Chinese millwork imports.
Photo: fusheng L / Pexels# US extends countervailing duties on Chinese wood millwork
On May 5, 2026, the U.S. Department of Commerce published final results of an expedited sunset review of the countervailing duty (CVD) order covering wood mouldings and millwork products from China. Commerce determined that the order should remain in effect.
Background
Countervailing duties are imposed to counteract subsidies granted by foreign governments that benefit exporters. A sunset review is a statutory review conducted every five years to determine whether the order should be revoked or continued.
Commerce's Determination
According to Commerce's final determination:
"Commerce finds that revocation of the countervailing duty (CVD) order on wood mouldings and millwork products (millwork products) from the People's Republic of China (China) would be likely to lead to continuation or recurrence of countervailable subsidies at the levels indicated in the 'Final Results of Sunset Review' section of this notice."
By concluding that revocation would likely lead to continuation or recurrence of subsidies, Commerce has justified extending the CVD order. The duty remains active on wood mouldings and millwork products imported from China.
Impact on Shippers
This determination affects importers of wood mouldings and millwork products classified under HS Chapter 44 (wood and articles thereof). The existing countervailing duty rates on these products from China remain in force, and importers must continue to account for these duties when calculating landed costs.
Shippers importing these products from China should verify their specific tariff classification and applicable duty rates with their freight forwarders or customs brokers. The duty order applies to the full range of millwork products covered under the prior investigation.
What this means for shippers
If you import wood mouldings or millwork products from China, your landed costs remain subject to these countervailing duties indefinitely. Review your current China-sourced millwork inventory and pricing models now to confirm duty compliance and explore alternative suppliers or tariff classifications if economically viable. Update your customs declarations and supplier agreements to reflect the continued duty obligation.
