U.S. low­ers tar­iff rates for Kruger, most newsprint pro­duc­ers

The Western Star - - FRONT PAGE -

The United States gov­ern­ment has given most Cana­dian newsprint pro­duc­ers a re­prieve by low­er­ing fi­nal anti-dump­ing and coun­ter­vail­ing du­ties in its fi­nal de­ter­mi­na­tion is­sued Thurs­day.

The move comes after sev­eral Amer­i­can busi­nesses com­plained the tax on Cana­dian newsprint would threaten the al­ready-strug­gling Amer­i­can news­pa­per in­dus­try.

The to­tal tar­iff for Cat­a­lyst Pa­per Corp. de­creased to 20.26 per cent from 28.25 per cent im­posed ear­lier in the year dur­ing the pre­lim­i­nary phase.

The B.C.-based com­pany’s anti-dump­ing rate was de­creased to 16.88 per cent from 22.16, and its coun­ter­vail­ing duty (CVD) rate was low­ered to 3.38 per cent from 6.09 per cent.

Com­merce Sec­re­tary Wil­bur Ross says no other Cana­dian un­coated ground­wood pro­ducer, a cat­e­gory that in­cludes newsprint and book grade pa­per, will have to pay anti-dump­ing tar­iffs be­cause of the unique facts of the depart­ment’s in­ves­ti­ga­tion and ar­gu­ments made by in­ter­ested par­ties.

The rate of Mon­treal-based Kruger, which owns Cor­ner Brook Pulp and Pa­per Ltd., CVD was low­ered slightly to 9.53 per cent but the fi­nal rates for Res­o­lute For­est Prod­ucts, White Birch Pa­per and other Cana­dian pro­duc­ers in­creased. Res­o­lute’s coun­ter­vail­ing tar­iff in­creased to 9.81 per cent from 4.42 per cent, White Birch was .82 from .65 per cent and all oth­ers has risen to 8.54 per cent from 6.53 per cent.

The U.S. says US$1.21 bil­lion worth of un­coated ground­wood pa­per was im­ported from Canada last year.

The Trump ad­min­is­tra­tion be­gan in­ves­ti­gat­ing Canada’s newsprint in­dus­try after Wash­ing­ton-based North Pa­cific Pa­per Co., com­plained Canada was dump­ing newsprint into the Amer­i­can mar­ket and un­fairly sub­si­diz­ing its in­dus­try at home.

It is the same ar­gu­ment made re­gard­ing Canada’s soft­wood in­dus­try, which led to the im­po­si­tion of both coun­ter­vail­ing and an­tidump­ing du­ties on most Cana­dian soft­wood ex­ports to the United States.

The U.S. In­ter­na­tional Trade Com­mis­sion is slated to de­cide in mid-Septem­ber whether the Amer­i­can com­plainant suf­fered harm.

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