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Columbia Forest Products will discontinue production of cabinetry components at its two-year-old facility in Salem, Or.
Component orders will be shifted to Columbia’s original production center in Kentucky.
President and CEO Greg Pray said that, despite aggressive sales efforts and excellent product and customer service quality, the plant returned insufficient profits and long-term prospects looked dim.
“This is another case of an otherwise healthy American business having to close down due to the continued proliferation of subsidized Chinese cabinets,” Pray said. “They have systematically attacked the pricing structure of the American cabinetry market by dumping look-alikes at less than the cost of production. These Chinese cabinet plants are targeting the 250,000 American cabinet making jobs through improper trade practices.”