Photo: Woodworking
CKCA President Luke Elias
The Canadian Kitchen Cabinet Association (CKCA) applauds the federal government’s imposition of a 25 per cent tariff on imports of kitchen cabinets and vanities and views the move as “an important first step” in addressing unfair trade practices that are undermining Canadian wood manufacturers.
Last week the government announced a 25 per cent surtax to be placed immediately on imports of certain wood cabinets and vanities. It is a provisional measure taken while a Canadian International Trade Tribunal (CITT) safeguard inquiry continues its review of unfair trade practices causing injury to Canadian wood manufacturers.
Luke Elias, CKCA President said, “This announcement is an important milestone for Canada’s cabinet manufacturing industry. It sends a clear message that our government recognizes the challenge facing Canadian manufacturers and is prepared to take action to restore fair competition.
“While we welcome this important first step, more work remains to be done,” stated Elias.
Canadian manufacturers are facing sustained pressure from imports that do not reflect fair market conditions. The 25 per cent tariff is a step towards restoring balance and protecting domestic manufacturing capacity. CKCA contends that the CITT safeguard initiative is not about restricting trade; it is about ensuring Canadian companies compete on fair terms.
Unfair trade practices, many originating from Chinese imports, has hit the Canadian kitchen cabinet industry hard. In a recent pre-budget submission to the finance department, CKCA shared data that stated there had been a 36 per cent increase of low-priced overseas imports in the last two years and this has undercut domestic manufacturers by approximately 65 per cent. The association notes that there is a significant variability regarding the extent imports undercut the pricing of domestic manufacturers; some companies report a 20 per cent differential, and others report in excess of 120 per cent.
The increased Asian imports are taking larger percentages of the market away from Canadian manufacturers every year, making it increasingly hard for Canadian businesses to be competitive.
Since 2023, the kitchen cabinet industry has experienced substantial revenue declines in excess of 40 per cent. Today more than half (53.2 per cent) of Canadian kitchen cabinet manufacturing capacity is idle.
Elias said, “Canadian manufacturers are among the best in the world. Our members are not asking for special treatment, they are asking for fair competition. Give Canadian manufacturers a level playing field, and they will compete successfully with anyone.”
The CKCA, established in 1968, is a national trade association representing the kitchen cabinet industry in Canada.
