U.S. revises tariff rates for Canadian newsprint

PrintAction Staff
August 09, 2018
By PrintAction Staff
The U.S. Department of Commerce has imposed final anti-dumping and countervailing duties of up to 20.26 percent (combined) on imported Canadian uncoated groundwood paper and newsprint – a ruling that will hurt workers, weaken businesses, and increase costs for the consumer, says Forest Products Association of Canada (FPAC).

The association says it is has “expressed extreme disappointment and concern” about the latest ruling because of its far-reaching impact.

“It will be damaging to newspapers, printers, book publishers and a range of other related industries,” says association CEO Derek Nighbor. “It stands to impact Canadian jobs, and will result in continued increased costs for business and consumers. And while it hurts Canadian workers and their families, it also does real damage to U.S. workers and businesses – we have already seen evidence of that south of the border.”

Under the Commerce Department’s final determination, British Columbia-based Catalyst Paper will face a sizable total 20.26 percent tariff instead of the 28.25 percent imposed earlier in the year during the preliminary phase, and Kruger’s rate was lowered slightly to 9.53 per cent, the Canadian Press reports.

“While not surprised, we’re disappointed with the U.S. Department of Commerce’s decision to keep these unwarranted duties in place, albeit at a lower rate,” says Ned Dwyer, Catalyst Paper President and CEO. “These duties are punitive and without merit. The allegation that we are subsidized and engage in dumping activities is wrong and does not adhere to the facts.”

However, the final tariff rates for Resolute Forest Products, White Birch Paper and other Canadian producers increased. The Canadian Press says Resolute’s countervailing tariff increased to 9.81 percent from 4.42 percent, White Birch was 0.82 from 0.65 percent and all others has risen to 8.54 percent from 6.53 percent.

Nighbor says the ruling also speaks to a deteriorating trade relationship with America.

“The international trade rules that have for so long delivered economic growth for North America are now facing unprecedented pressure,” he says. “In the last year, the U.S. Department of Commerce has initiated dozens of anti-dumping and countervailing duty investigations, more than any period in recent memory – and signals a significant change in what has long been a healthy, productive relationship between our two nations.”

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