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

LETTER: An exceptional donation for the exceptional Peter Witherly

Prince Rupert Special Events Society is making a donation to the community music studio

Missing teen reported sighted

Colten Fleury has been missing three weeks and has been spotted in New Hazelton and Prince Rupert.

Trade continues to increase through Port of Prince Rupert

In first four months of 2018, thousands more tonnes of cargo moved through the North Coast terminals

Northeastern pipeline approved to go ahead without Pacific NorthWest LNG

NEB approves amendment for $1.4 billion natural gas North Montney Mainline Project

This Week Podcast — Episode 86

Pick up a few gardening tips from Prince Rupert Sunken Gardens manager Andree Fawcett

Toronto Raptors star to hold basketball camp in B.C.

DeMar DeRozan is hosting a four-day camp for players aged 6-16 at the University of Victoria

Military college students accused of violating Qur’an with bacon

Alleged acts by four cadets from the Royal Military College in Quebec caught on video

Canucks sign top prospect Elias Pettersson to entry-level deal

Slick centre drafted No. 5 overall in 2017 NHL draft

Wildfire northwest of Kamloops jumps to 1,600 hectares overnight

Ground crews and aircraft are responding to an estimated 1,600 hectare wildfire approximately 55 kilometers northwest of Kamloops, near the Deadman Vidette Road.

Former B.C. police chief dies in ATV accident

Ex-Nelson top cop began his career in Vancouver

Referendum in Ireland would repeal strict ban on abortion

Voters throughout Ireland have begun casting votes in a referendum that may lead to a loosening of the country’s strict ban on most abortions.

Lava from Hawaii volcano enters ocean from 3 flows

The Kilauea volcano has been gushing lava on the big island of Hawaii for the past three weeks.

Summit talk turns warmer; Trump says ‘talking to them now’

North Korea issued a statement saying it was still “willing to give the U.S. time and opportunities” to reconsider talks

Most Read