The U.S. International Trade Commission’s five commissioners voted unanimously Wednesday that the U.S. newsprint manufacturing industry is not harmed by imports from Canada, ending the imposition of antidumping and countervailing duties initiated earlier by the Commerce Department.
Commerce earlier this year had determined that the newsprint, also called uncoated groundwood paper, was subsidized by the Canadian government and sold in the U.S. at less than fair value. The department began imposing antidumping duties against Catalyst Paper of 16.88 percent and collecting countervailing duty deposits from U.S. importers of Canadian newsprint ranging from 3.38 percent to 9.81 percent.
The department estimated that imports of uncoated groundwood paper from Canada in 2017 were valued at $1.21 billion.
The petition for the Commerce antidumping and countervailing duty investigations was filed by North Pacific Paper Co. (NOPAC) of Longview, Wash.
The company in its petition noted that since 2012, more than 10 American mills closed and 2,150 jobs were lost. During this time, the company also said U.S. producers’ share of the American market dropped from 60 percent to 36 percent.
“Since the imposition of preliminary duties earlier this year, the market has improved sufficiently to allow the restart of NORPAC’s idled paper machine and the hiring of 60 new employees, with an additional 40 more positions in rural Southwest Washington yet to be filled,” said Craig Anneberg, the company’s CEO, in a statement in early August.
Anneberg expressed disappointment in the ITC’s decision and said his company will “assess our options.”
Stop Tariffs on Printers & Publishers (STOPP), a coalition of printers, publishers, retailers, paper suppliers and distributors, welcomed the ITC’s decision to end the duties currently being applied to Canadian newsprint imports.
“The ITC’s decision will help to preserve the vitality of local newspapers and prevent additional job losses in the printing and publishing sectors,” said David Chavern, president and CEO, News Media Alliance and STOPP member, in a statement. “The end of these unwarranted tariffs means local newspapers can focus once again on playing a vital role in our democracy by keeping citizens informed and connected to the daily life of their communities.”
“After analyzing the facts, the ITC has issued the right decision to protect American jobs across the country,” added coalition member Michael Makin, president and CEO of Printing Industries of America. “Small businesses that are part of the printing industry can breathe a sigh of relief.”
The Teamsters and Communications Workers of America also opposed the tariffs.