Quartz fabricators warned federal officials that proposed tariffs and quotas on imported quartz surface products (QSP) would inflict serious harm onto small businesses, American workers, and consumers. During a public hearing before the Office of the U.S. Trade Representative (USTR) and other federal agencies, fabricators argued that the ITC’s recommended trade restrictions would raise housing and renovation costs, limit consumer choice, disrupt supply chains, and jeopardize the livelihoods of thousands of workers employed by fabricators, distributors, and installers across the country.
Testifying before USTR and other federal agencies during a public hearing on the U.S. International Trade Commission’s (ITC) recommendations in the Section 201 QSP global safeguard investigation, fabricators emphasized that while a handful of multinational slab producers seek import restrictions, it is the thousands of downstream businesses that cut, fabricate, install, and sell quartz countertops who would bear the economic consequence.
The hearing follows the ITC’s recommendations that the Administration impose hard quotas and tariffs up to 40 percent on imported quartz surface products following a petition filed by a handful of multinational slab producers despite warnings from thousands of downstream fabricators that the proposed restrictions would threaten jobs, increase costs, and disrupt supply chains.
In testimony [LINK], fabricators make clear how trade restrictions would hurt their small businesses and workers, stating:
“Fabricators will be forced into very difficult choices. They can try to raise prices, but in many cases, their customers will walk away or delay projects. They can try to absorb the costs, but most of these businesses operate on thin margins and simply cannot sustain that kind of pressure. Or they can cut back—reduce production, reduce hours, and ultimately reduce jobs. Based on my experience working with hundreds of these companies, I can tell you that the last option is the one that becomes unavoidable when costs rise too quickly.” – Rich Katzmann, Co-Founder and Chief Commercial Officer of Thryve Innovation.
A premier wholesale supplier and end-to-end service provider that partners with major national home improvement retailers to fabricate, distribute, and install custom countertops and cabinetry, stated:
“I want to be clear: like many fabricators that you have heard from today, we all support American manufacturing and American workers. We support policies that are America First, and that prioritize the health, well-being, and economic viability of American businesses. But these proposed tariffs on quartz imports will not achieve that goal. In fact, they will impose serious economic costs to American workers and homeowners.” – Jeff Stiles, Senior Vice President, Sage Surfaces.
A leader with one of the largest homebuilding associations in the United States points out that tariffs or hard quotas could create barriers to homeownership:
“The interagency is tasked with making a recommendation to the President that provides greater economic and social benefits than costs. You must ask if your recommendation will help or harm American families. In this case, the answer is clear. This tariff will certainly raise housing costs and limit access to homeownership, while slowing down an already fragile and under-pressure housing market. And it will do so without creating a viable path for domestic producers to serve the segment of the market affected.” – Ken Gear, Chief Executive Officer, Leading Builders of America.
A U.S. slab producer shared his perspective as a domestic manufacturer:
“The question before the Committee is not whether domestic quartz manufacturing can succeed—it already has. The question is whether restricting imports will strengthen the industry. Based on our experience as a successful U.S. manufacturer, we believe the answer is no.” – Darrell Turbeville, General Manager of Elite Quartz Manufacturing LLC.
An economist puts the harm to fabricators and American workers in sobering numbers:
“The ITC proposes a 25 percent tariff for in-quota volumes of 141 million square feet. Our modeling shows that this one-sided proposal would result in a 21.7 percent operating margin for U.S. QSP slab producers in year one and enable a small number of slab producers to earn a windfall—an additional $662 million of operating profits relative to baseline over the next four years. On the other hand, this tariff would cause widespread losses in U.S. fabricator manufacturing jobs. The net outcome is devastating to fabricator employment—a decrease of more than 20 percent, through the loss of over 4,500 QSP manufacturing jobs in the first year.” –Travis Pope, Principal at Capital Trade.
Prior to the hearing, USTR posted submitted comments related to the ITC’s recommendations here. The vast majority of comments submitted were from small- or mid-sized businesses and represent more than 16 states nationwide, underscoring the broad negative economic impact proposed tariffs and quotas could have across the country.
