Report Pointed Finger at China for Most Defective Drywall; But Investigation Found Similar Problems in U.S.-Made Product

CBS) The CBS News investigative unit first reported this spring about the thousands of Americans forced out of their homes by defective, rotting drywall.

Monday, the Consumer Product Safety Commission said it has found what it calls a "strong association" between some Chinese-made drywall and the corrosion of pipes and wires. But there may also be problems with American-made drywall, as CBS News chief investigative correspondent Armen Keteyian reports.

The damage being blamed on defective drywall is ugly: corroded copper coil, electrical wires eaten away and a noxious odor fouling the air. Health complaints range from itchy eyes to headaches and bloody noses to breathing problems.

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Thousands of homeowners in 32 states have been affected.

"This is devastating," said Sen. Mark Warner, D.-Va. "People are losing their homes; they're being foreclosed upon; they're declaring bankruptcy."

It's believed that "bad" drywall produces corrosive sulfur gasses. The reason remains unclear, but lawmakers and federal authorities have left little doubt who's to blame: China, China, China.

But a CBS News investigation has found problems with defective drywall may reach beyond China and include products made in the United States.

The Consumer Product Safety Commission has received more than 2,000 complaints to date. The agency recently released details on 44 of them under the heading "imported drywall." But CBS News discovered that 10 of the cases - nearly a quarter - actually involve drywall made in the United States.

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