The pendulum swung back swiftly on imported mattresses as preliminary antidumping measures went into effect late last year — November to be exact — and the results show a dramatic in imported product.
Mattress imports for the month of November had a 79-point swing from an increase of 33% or 1.3 million units, in October to a 46% decline in November.
The antidumping duties pumped the brakes on imports from the seven countries targeted in a trade case filed in March. Those countries — Cambodia, Indonesia, Malaysia, Serbia, Thailand, Turkey and Vietnam — saw a decline of 692,614 units from October to November. According to data, the seven countries were responsible for 922,788 imported units in October. That figure ped to 230,174 in November.
In a year of explosive sales in the home furnishings and mattress industry, due in part to COVID-19-induced spending on the home, the decline can very much be linked to the duties that range from a low of 2.61% for companies in Indonesia to a high of 989.9% for some companies in Vietnam.
Turkey was the only one of the impacted countries to post a year-over-year increase of 19,561 units for the most recent month that figures are available. However, in a month-to-month comparison, Turkey’s number ped 56,753 units from 105,214 in October to 48,461 in November.
November marks the first time in more than a year that mattress imports ped in YOY comparisons. While one month does not make a trend, the early results are in. The petitioners in the case filed their claim March 31 and included Brooklyn Bedding, Corsicana Mattress Co., Elite Comfort Solutions, FXI, Innocor, Kolcraft Enterprises and Leggett & Platt, as well as the Teamsters and Steelworkers labor s.
Slightly more than a year ago, we were facing the same environment, only in China. U.S. tariffs coupled with antidumping duties on Chinese product, d a great shift in where retailers, distributors and manufacturers were securing mattresses.
In July 2019, China held only 2% of the import mattress market following a sharp decline from 87% share in February of the same year. The one-two punch of tariffs and antidumping duties levied on China took a huge chunk out of that business in a relatively short period of time. Those actions led to increased imports from the countries cited in the latest round of duties, as the hunt for low-cost bedding ensued.
Now that duties are having a significant impact on the seven secondary countries, the question remains: Where will companies turn for those low-cost mattresses? Which countries are on the horizon to fill the void for the promotional, low-end goods?
I’m always amazed at how quickly this segment of the industry can shift. Built on the shoulders of entrepreneurs who dig deep to find creative solutions, the industry digs deep, and I’m certain the smartest of the smart will figure out the next frontier for low-cost production.
Change is imminent in the category, and it’s coming quickly. Will China come back in a larger role? It’s hard to predict this early in the year. As always, I welcome your thoughts as the strategies start taking form.
https://www.furnituretoday.com/ Sheila Long O’Mara
News Author : Selma SEZGİN
271 viewed times. / 30-01-2021 added.
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