Catalyst Paper Gravely Disappointed with Trimmed Final Duties by the U.S
Paper Recycling | 2018-08-03 07:59:29
The preliminary determination by the U.S. DOC had set countervailing duty deposit at 6.09% and anti-dumping duty deposit at 22.16%.
By Paul Ploumis
SEATTLE (Scrap Monster): Catalyst Paper expressed disappointment over the U.S Department of Commerce’s (DOC) final determination of duties. Commenting on the reduced duty, the company stated that it still believes that the duties are ‘punitive’ and ‘without merit’. The combined duties on Catalyst’s exports total a significant amount, it noted. Further, the company expressed the hope that the U.S. Trade Commission will overturn the duties, when they issue a final order by mid-September this year.
Ned Dwyer, President and Chief Executive Officer, Catalyst Paper stated that the company is disappointed with the U.S. Department of Commerce’s decision to keep the unwarranted duties in place, though at a lower rate. He refuted the allegations with regards to subsidization and reiterated that the company has never involved in any sort of dumping activities. Further, Dwyer noted that trade action, which it still believes has no adherence to the facts, has already affected the competitiveness of its business.
The preliminary determination by the U.S. DOC had set countervailing duty deposit at 6.09% and anti-dumping duty deposit at 22.16%, thereby making the total duties to 28.25%. The tariff for the company now stands reduced to 20.26%, comprising of a dumping rate of 16.88 per cent and a subsidy rate of 3.38 per cent. The reduction in duty follows widespread complaints that the earlier proposed high duty structure could threaten the newspaper industry, which has been passing through various struggles.
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The U.S. International Trade Commission (ITC) will now consider whether the Canadian imports have injured the U.S. industry. A decision on this is expected by end-August. If the determination is affirmative, the DOC will issue a final order by end-September this year.
Incidentally, the investigations on imported uncoated groundwood paper followed the complaint filed by North Pacific Paper Company (NORPAC) in 2017.
