Catalyst Paper’s Crofton mill in the Cowichan Valley. (Catalyst)

Latest U.S. government duty decision alleges newsprint ‘dumping’

‘We will not be pushed around,’ says BC Jobs Minister Bruce Ralston

They won the last trade dispute over glossy paper, and now B.C.-based Catalyst Paper faces an “anti-dumping” duty of more than 22 per cent on newsprint.

The latest preliminary decision by the U.S. Department of Commerce is on top of a six per cent countervailing duty imposed on Jan. 8. A final decision on both measures is expected in early August.

“ This U.S. trade action is unwarranted and without merit,” Catalyst CEO Ned Dwyer said in a statement released Wednesday, vowing to “vigorously defend” the company against the trade action.

B.C. Jobs Minister Bruce Ralston said the provincial government will do its best to help the company and its employees in B.C. communities.

“We will not be bullied,” Ralston said. “We will not be pushed around. We will work closely with Catalyst and the federal government to fight this preliminary decision by the U.S. Department of Commerce, and demand that B.C. is treated fairly by its largest trading partner.”

Catalyst has its corporate headquarters in Richmond, its distribution centre in Surrey and paper mills in Crofton, Port Alberni and Powell River.

Crofton produces 350,000 tonnes of newsprint and 377,000 tonnes of pulp per year, with nearly 600 employees. The Port Alberni operation produces directory and lightweight coated paper. Powell River mill, with 383 employees, produces newsprint and uncoated mechanical specialty papers.

The U.S. decision affects “uncoated groundwood paper” used in newspapers, directories, flyers, catalogues and books. Directory paper was excluded from the preliminary ruling.

“Even with the exemption of directory paper, the remaining anti-dumping and countervailing duties are onerous and a critical cost challenge to Catalyst,” Dwyer said. “They pose a threat to our competitiveness and the sustainability of our business and we will continue to vigorously defend ourselves against them.”

In 2015, the U.S. agency final review determined that a countervailing duty on glossy or “supercalendered” paper was not justified because Catalyst did not receive significant government subsidies during the period it reviewed.

Just Posted

Loren Duncan running to re-take Area E seat at the CVRD board table

Loren Duncan has 15 years of experience in office.

Fiscal responsibility key for Mike Wilson, seeking election to Area C director

The decisions made by local government directly impact our community and our quality of life

Seeing double, the trials and tribulations of twins

BIG READ: Three Vancouver Island mothers share their experiences with multiple births

Paving complete, lines coming to the Malahat this week

$34 million safety project is 95 per cent complete with hope to relieve traffic congestion between Victoria and Nanaimo

VIDEO: Neighbours fear impact of B.C. tent city residents

Greater Victoria residents opposed to campers voice concerns at provincial campground

VIDEO: Inside an eerily empty mall in Canada

Only seven of 517 retail spaces are open for business as the grand opening postponed to next year

B.C. wildfires burned large areas affected by mountain pine beetles: Experts

The mountain pine beetle epidemic affected more than 180,000 square kilometres in B.C.

Tens of thousands without power following tornado in Ottawa region

Hydro Ottawa says more than 170,000 customers were without power early this morning

BALONEY METER: Do Liberal policies mean a typical family is $2,000 richer?

MPs took to Twitter to talk how ‘typical’ Canadian families have more money due to Liberal policies

B.C. premier apologizes for removal of 1950s totem pole at Canada-U.S. border

First Nations say pole was raised at Peace Arch but removed to make way for tourism centre

Tornado touches down in Ottawa and Gatineau, Que.

Environment Canada says cars and homes have been damaged by severe thunderstorms and high wind gusts

An unexpected sight: Bear spotted eating another bear in central B.C.

Cheslatta Carrier Nation Chief finds bear eating another bear’s carcass

RCMP confirm death of missing BC teen Jessica Patrick

No details on cause were given. Case is under criminal investigation and police are asking for tips.

Most Read