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

In Photos: Pumpkin cannons fired in food bank fundraiser

Salmon Arm’s DeMille’s Farm Market helps raise food and funds for Salvation Army

‘Police are ready’ for legal pot, say Canadian chiefs

But Canadians won’t see major policing changes as pot becomes legal

Early morning fire destroys Tappen home

Firefighters from Tappen-Sunnybrae and Shuswap fire departments respond

Shuswap Connextions seeks inclusion

Group stresses importance of a community that values diverse abilities

Shuswap River vessel restrictions proposal moves forward

North Okanagan electoral area directors unanimously pass amended notice of motions

Competitors get crafty for Okanagan Mixoff

Okanagan Spirits Craft Distillery Mixoff is Nov. 8 in Kelowna

Canucks: Pettersson in concussion protocol, Beagle out with broken forearm

Head coach Travis Green called the hit ‘a dirty play’

5 tips for talking to your kids about cannabis

Health officials recommend sharing a harm reduction-related message.

Resolution found in Vernon car-surfing death case: defence

Byron James Walterhouse will appear to fix a date for disposition Oct. 18

NHL players say Canada’s legalization of marijuana won’t impact them

NHL players say the legalization of marijuana in Canada won’t change how they go about their business.

Automated cars could kill wide range of jobs, federal documents say

Internal government documents show that more than one million jobs could be lost to automated vehicles, with ripple effects far beyond the likeliest professions.

Vernon pair arrested in connection with 2017 homicide

Incident happened July 19 at Vernon apartment; man, woman arrested without incident

Private marijuana stores should shut down, Mike Farnworth says

B.C. has approved 62 licences, but they still need local approval

HPV vaccine does not lead to riskier sex among teen girls: UBC

Girls are less likely to have sex now than they were a decade ago

Most Read