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

Experts detect risk of rock avalanche above Bridal Falls near Chilliwack

Risk in the one-in-10,000-year is minimal but triggers FVRD to direct growth elsewhere

UFV health fair focuses on taking back health

Health sciences program invites Dr. Cathy van Ingen to speak

Chilliwack’s Spirit Abreast team searching for new paddlers

As dragon boat season approaches, breast-cancer-focused team holds annual meet and greet

Free parking not in the cards for Fraser Valley hospitals

Chair says board may look at ways to make parking easier, but not free

B.C. Lion legend Angus Reid brings o-line expertise to Chilliwack

The longtime Canadian Football League center will run a camp in Chilliwack March 31.

Ottawa proposes restricted pot labels, packages

Packaging will include red stop sign with marijuana leaf and ‘THC’

New Liberal bill would tighten controls on sale, licensing of firearms in Canada

Measures are intended to assist police in investigating gun trafficking and other crimes

Murder charges upgraded for B.C. man accused of killing wife and daughters

Crown approved new information on Jacob Forman’s file

5 to start your day

Some puppies need naming, a police-involved death in South Surrey and more

Janet Austin announced as B.C.’s new lieutenant governor

Austin has served as YWCA Metro Vancouver CEO since 2003

Ex-French president Sarkozy in custody on Gadhafi claims

Former French President Nicolas Sarkozy was placed in custody as part of an investigation that he received millions of euros in illegal financing

Hockey pioneer Kwong dies at 94

Vernon’s Larry Kwong was the first player to break NHL colour barrier in 1948

How Facebook likes could profile voters for manipulation

Facebook suspended Cambridge Analytica, a data-analysis firm worked for Trump’s 2016 campaign

Most Read