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Decorative Mosaic Tiles Covered by AD/CV Duties on Chinese Ceramic Tile, Commerce Says

Small decorative tiles imported by Maryland Mosaics for use in arts and craft projects are subject to antidumping and countervailing duties on ceramic tile from China (A-570-108/C-570-109), the Commerce Department said in a scope ruling released Sept. 1. Though Maryland Mosaics argued that the AD/CVD orders were meant to cover tiles used in construction, Commerce disagreed, pointing to language in the scope covering all ceramic tiles regardless of end use.

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The various types of tiles at issue in the scope ruling were all glazed porcelain ceramics that are frost-proof, weather-proof and waterproof, with a thickness of at most five millimeters, and that are sold as loosely packaged individual pieces. They are intended for use as mosaic pieces.

The scope of the orders covers ceramic tiles “containing a mixture of minerals including clay (generally hydrous silicates of alumina or magnesium) that are fired so the raw materials are fused to produce a finished good that is less than 3.2 cm in actual thickness.” Commerce found that the tiles are covered by that physical description, being made from porcelain ceramics and having a thickness of less than 3.2 cm.

And despite their use in arts and crafts, specifically as mosaic tiles, Commerce noted that the scope explains “all ceramic tile is subject to the scope regardless of end use, surface area, and weight.” Though the original petitions said that subject ceramic tiles “are ‘frequently’ used in the construction industry, we do not agree with Maryland Mosaics’ conclusion that this indicates that the petitioner intended only ceramic tile used in construction to be included in the scope of the Orders,” Commerce said. “In fact, the petitioner explicitly indicated that it did not intend such a limitation on the end-use of products subject to the Orders.”

Commerce also disagreed with Maryland Mosaics’ argument that to be covered by the scope, mosaic tiles must be mounted on a backing. While the ITC said during the original investigation that led to the orders that mosaic tiles are “typically,” mounted, “this does not mean that mosaic tiles that are not mounted on substrate are excluded from the scope of the Orders, or that such tiles must be mounted on substrate in order to be included in the scope,” Commerce said.