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

Nelson evens the series

Confidence turned into cockiness, Dynamiters’ coach says

‘When you walk in this country, it will know your footsteps’

Gathering of American Sinixt in Nelson seen as ‘coming home’

Kimberley Dynamiters take game one 8-0

Coach Stuart says they cannot expect same Nelson team to show up tonight

Nelson gets $6 million for water upgrade

Funds are from the federal government’s Gas Tax Fund

Nelson city hall outlines 2018 budget

Residential taxes will increase by 3%

REPLAY: B.C. this week in video

In case you missed it, here’s a look at replay-worthy highlights from across the province this week

SKI TIPS: Build trust in your skis

Whitewater’s Dylan Henderson shows how to let skis catch you in a turn

She. We. They: The Women Show

Touchstones exhibit celebrates Nelson women past and present

Kimberley Dynamiters vs Nelson Leafs; a look ahead

The series begins Friday evening in Kimberley

LETTER: I trust and deeply appreciate the educators in Nelson

Column about bullying, violence was offensive

LETTER: Important public hearing ill-timed and underpublicized

City criticized for its handling of Railtown plan

COLUMN: Uplifting campaign to protect wildlife habitat

Heart-warming signals for Nelson newcomer

Anti-pipeline protestors block Kinder Morgan tanker near Seattle

Protest was spurred on by the 28 anti-Kinder Morgan activists arrested in Burnaby

Canada earns second Paralympic Games silver in 20 years

Held 1-0 lead in para hockey game from 12:06 of first to dying seconds of third and lost in overtime

Most Read