K. SCHIPPER: Hi, I’m K. Schipper with the latest from Radio Stone Update
Could a host of products imported from Vietnam – including hard surfaces – be on the table for 301 tariffs? After a virtual public hearing the final week of 2020, a special 301 Committee advising the office of the United States Trade Representative is considering whether the USTR should place tariffs in response to alleged currency manipulation.
The USTR announced back in October that it would investigate charges Vietnam’s government is undervaluing its state currency to give the country’s exports an unfair trade advantage. The deadline to submit additional comments to the committee was last week. In announcing the investigation, the USTR says available analysis shows Vietnam has undervalued its currency by seven percent to eight percent.
The virtual hearing included testimony from 16 representatives of manufacturers, trade groups and workers. Three of the panelists supported the idea of a tariff. All the others disagreed. Prior to the public hearing, Cambria Company LLC, the largest U.S.-based manufacturer of quartz surfaces, submitted written comments on the issue. The Eden Prairie, Minn.-based company noted financial actions taken by the Vietnamese government, along with corresponding changes in shipments of quartz-surfaces from Vietnam, as an unfair trade tactic in the U.S. market.
When the USTR is likely to act isn’t clear as the agency doesn’t follow a tightly set schedule on determining action.
Caesarstone is starting the new year out with a bang. The Israel-based producer of quartz surfaces and porcelain panels announced last week that it has acquired U.S. stone supplier Omicron Granite & Tile. The Pompano Beach, Fla.-based Omicron has an enterprise value of $27 million, including approximately $6 million in debt.
Omicron owns and operates 17 showrooms and indoor warehouses across the Southeast and Ohio Valley regions. Ken Williams, president of Caesarstone North America, says the acquisition enhances Caesarstone’s value to customers and consumers by extending that company’s distribution initiatives. Says Williams, “We are thrilled to find a strong strategic partner with Omicron, whose high-performing teams and strong customer base fit seamlessly in our accelerated growth plans.”
The acquisition comes on the heels of last fall’s acquisition of India-based porcelain manufacturer Lioli Ceramica. Yuval Dagim, Caesarstone CEO, says he expects the acquisition to further leverage the company’s existing sales force and brand to enhance customer reach and capture additional market share in several U.S. regions.
Omicron’s locations serve Florida with 11 locations, and also operate facilities in the Cleveland, Cincinnati, New Orleans, Mobile, Ala., and Detroit markets. Caesarstone is a publicly traded company on the NASDAQ exchange under the ticker symbol CSTE.
Coverings is extending the deadlines for both the 2021 Coverings and Installation Design – or CID – Awards and the 2021 Coverings Rock Star Awards. The new deadline for both is March 26.
The CID Awards recognize projects worldwide featuring tile and stone that have been completed in the past two years. Projects are judged separately on installation and design, with entry forms specific to each field of work. Awards are given in Residential and Commercial categories for Tile Installation, Tile Design, Stone Installation and Stone Design. All winners receive a free one-night stay in Orlando to attend Coverings 2021 on July 7-9. There is no cost to enter.
The Coverings Rock Star awards spotlight young industry talent bound for a bright future in the tile and stone industry. Eligible nominees must be 35 or younger, and employed as architects, designers, distributors, retailers, contractors/installers, fabricators, specifiers, or trade association or manufacturer employees. Selected Rock Stars will also receive complimentary one-night stays in Orlando to attending Coverings 2021 and unique professional development opportunities. For more information about either category, go to www.coverings.com
Local groups in western Colorado won’t get the chance to make their case at a public hearing over a marble quarry and violations of the federal Clean Water Act. The U. S. Army Corps of Engineers has denied a request for such a hearing, saying the agency doesn’t believe a valid interest would be served or that a hearing would generate new information that couldn’t be obtained through a public comment period.
At issue is the action of mine operator Colorado Stone Quarries to divert a roughly 1,500-foot section of Yule Creek near Marble, Colo., in the fall of 2018, from its natural channel on the west side of Franklin Ridge so it could build a road. The streambed was filled with some 97,000 cubic yards of material, including marble blocks.
Last March, the Army Corps determined these actions were done without a proper permit, violating the Clean Water Act. Colorado Stone Quarries is now retroactively applying for the permit, and proposing to make the creek location permanent.
The Aspen, (Colo.) Times, reports that the Corps of Engineers has already received written comments from two Colorado counties, the Crystal River Caucus, the Roaring Fork Conservancy and the Crystal Valley Protection Association asking for monitoring, restoration, mitigation and a chance for the public to weigh in. The deadline for the quarry to respond is Jan, 23, but it will probably take the company longer than that to come up with a mitigation plan.
And, if you’re looking for knowledgeable information on common – and not so usual – questions, the Natural Stone Institute’s online library of resource materials finished 2020 with 16 documents by the institute’s technical director, Chuck Muehlbauer. The articles originally appeared in the Queries & Quandaries column in “The Cutting Edge,” the institute’s member newsletter. Muehlbauer covers a variety of topics, including tolerances, stone anchors, testing flexural strength and countertop overhang limits.
More than 300 documents are now available to download via the Natural Stone Resource Library, including technical bulletins and modules, “Dimension Stone Design Manual” chapters, and resources from other industry associations. All documents are available free of charge and can be accessed online at www.naturalstoneinstitute.org/resourcelibrary.
In news briefs around the industry…
Stonemart 2021, the India stone event scheduled for Jaipur, India, next month, is postponed until late November. The Federation of Indian Chambers of Commerce and Industry cited continued concerned over COVID-19 in making the announcement. The event is now set for Nov. 25-28 at the Jaipur Exhibition and Convention Center.
Steve Mast of Precision Countertops in Wilsonville, Ore., is the new president of the International Surface Fabricators Association. The ISFA’s board of directors also elected Joe Duszka or Carolina Custom Surfaces in Greensboro, N.C,, as vice president, Mike Langenderfer of The Countertop Shop in Monclova, Ohio, as treasurer and Austin Maxwell of Maxwell Countertops in Farmer City, Ill., as secretary. Augie Chavez of GECKO Solid Surface Solutions in San Antonio, has led the group for the past two years and will serve as immediate past president.
The National Tile Contractors Association also announces a new slate of officers, headed by Martin Brookes, principal at Heritage Marble and Tile in Mill Valley, Calif., as president. Serving with Brookes are Chris Walker, the 2018-2020 president, who assumes the title of chairman of the board, Sam Bruce, first vice president and Rod Owen, second vice president. The board will serve for two years, and was selected during the group’s annual meeting which was held virtually last month.
In news out of Fredericksburg, Va., Kaeser Compressors Inc., broke ground late last year on a new 30,000 square-foot addition to its headquarters. The new space will accommodate up to 100 additional employees, and provide enhanced amenities, including a café, kitchen and dining space with an outdoor terrace. The new facility is also designed for energy efficiency with state-of-the-art lighting systems and underfloor air distribution, and should be completed by November.
Finally, a marble slab found in an English garden 20 years ago and utilized by the finder to help her climb onto horses probably dates back to the second century AD. After noticing a wreath carved into the surface, the woman took the slab to an archeologist who believes it originated in either Greece or Asia Minor and was probably brought to England by someone making a Grand Tour in the 18th or 19th century. While an investigation of its possible origins continues, the slab is expected to go on the market and has an estimated value of up to $20,000.
Remember, you’ll find all the industry news in our online newsletter, Slab and Sheet. For the latest data on hard surface imports, go to Hard Surface Report. And, keep an eye out later this month for the January/February issue of Stone Update Magazine, which is available at magazine.stonemag.com. For the notes in this episode, go to our webpage for links to everything in this broadcast.
I’m K. Schipper for Radio Stone Update and we’ll see you here again soon.