with competitors that claim they
comply “by the book”?
Roddey Dowd, Jr.: Customers should
have the peace of mind of knowing that
overseas manufacturers have diligently
followed all the necessary quality
control requirements embedded in the
standards. In our business, ASTM and
CISPI standards for cast iron pipe and
fittings require consistent tensile
strength, chemical and dimensional
testing and radiation testing of raw
materials. These tests must be done
during the manufacturing process by
the manufacturer to ensure consistent
quality and to be in compliance with the
standard. No third-party certifier or
importer can do that after the fact.
The problem is that most U.S.
importers purchase cast iron soil pipe
and fittings from multiple foundries in
China. The name of the producing
foundry frequently is not stenciled on or
cannot be readily identified on the pipe
being sold (which is required by the
standard). This makes it difficult to
identify which foundry produced the
material. Also, the pipe sometimes is
only marked with the month and the
year it was manufactured, not the date
of manufacture (which is also a
requirement of the standard). These
lapses make it impossible for consumers
to tie back pipe or fittings to chemical,
physical and dimensional testing
reports at a given foundry, as required
by the standard. If there was a quality
problem, how would the purchaser
know what day the material was made,
or which foundry made it, so they could
ask for test reports that would verify the
quality?
Recently, the Michigan Construction
Code Commission voted to deny
approval of an importer of cast iron soil
pipe and fittings from China for use on
state construction projects in the state
of Michigan. In the case, a U.S. importer
had requested official approval of the
products they were reselling. They were
denied
approval
after
Michigan
regulators were not satisfied that the
products they were outsourcing
conformed to applicable standards
referenced in the Michigan Plumbing
Code.
Requiring products to conform to
applicable manufacturing standards is
essential in today’s world of global
outsourcing. The news headlines
demonstrate all too well what can
happen if they are not followed.
Demanding that foreign-made products
prove they meet the standard is a
legitimate, understandable requirement
of those entrusted with protecting the
health, welfare and interest of
consumers and taxpayers. Anything less
will not adequately protect the
customer.
You talk a lot about competing with
the Chinese. Have you been to China?
Roddey Dowd, Jr.: I have visited
China regularly since the mid-1990s to
make sure we understand their
capabilities when it comes to
manufacturing plastic and cast iron pipe
and fittings. My last trip was just 11
months ago. I have been in the primary
cast iron pipe plants which are
supplying the importers. As the
evidence presented in Michigan
demonstrates, and from my firsthand
observations, these foundries supply
multiple U.S. and European importers.
They have no knowledge of the U.S.
market or our manufacturing standards
and will put anyone’s name on the pipe
if they place an order.
Based on your knowledge of the
Chinese production base, did the
Michigan decision surprise you?
Roddey Dowd, Jr.: Not at all. What
surprises me is the fact that these
questions hadn’t surfaced earlier. Having
been in this business for 27 years, I’ve
come to understand how difficult it is to
produce a high quality product. I would
certainly not be comfortable relying on
the multiple parties involved in this
supply chain to guarantee quality
sufficient to put the Charlotte® brand on.
The foundries in China are very small
shops with primitive technology. They
are undercapitalized and extremely
challenged by the rapid increases they
are facing in wages, raw materials and
energy. There’s no need to even
comment on safety and the environment
— no controls exist. No wonder the
importers did not want a minimal safety
reference added to the ASTM standard.
Doesn’t the fact that they have
certification give some level of quality
assurance to the buyer?
Roddey Dowd, Jr.: As to third-party
certification,
it’s
important
to
understand and quantify the level of
expertise that the inspection agency
has. Based on my experience, the third
party certification in China is lax to
inconsistent. Charlotte Pipe’s plastic
and cast iron products carry third party
certification. Without saying more, we
would state that we see a wide disparity
in inspection expertise and rigor. That is
why the cast iron ASTM standards
require that product certification must
be done by the foundry which pours the
metal. Furthermore, the one entity that
knows the most about inspecting soil
pipe is CISPI. The CISPI quality control
program, which is certified by NSF, is
rigorous and extensive. Along with other
senior executives in our Cast Iron
Division, I receive a copy of every
inspection report and see any non-
compliant items, which we immediately
correct.
Phc: What would you like your
legacy to be at Charlotte Pipe?
Charlotte Pipe: We would like to see
Charlotte Pipe and Foundry remain a
privately held company and an industry
leader. We want to continue to innovate.
We want to continue to work everyday to
develop and maintain close relationships
with our customers and provide a
reasonable return to our shareholders.
And we would like to see the company
continue to look after its wonderful
associates, providing good jobs here in
America.
Phc: The history of Charlotte Pipe is
solid; where does the company go
from here?
Charlotte Pipe: We will continue to
re-invest to make sure that we are able
to weather the tough times and prosper
in good times. It is important to keep
our focus on the horizon and to manage
the details of our business carefully so
we can be the kind of company our
customers, ownership, suppliers and
associates can be proud to work with.
n
Phc News — JUNE 2008
3
Reprinted with permission from Phc News (plumbing & hydronic contractor news), June 2008
by The Reprint Outsource, 717-394-7350