Blog Posts

Portage County Farmers Market

U.S. International Trade Commission Determines Unfair Competition on the U.S. Paper Industry

By Portage County Business Council

According to a recent news release, George Martin, president and CEO of NewPage, announced the company’s satisfaction in the 6-0 vote by the U.S. International Trade Commission’s (ITC) determination that imports of coated paper from China and Indonesia are causing unfair competition on the U.S. paper industry. Appleton Coated LLC, Sappi Fine Paper North America, the United Steelworkers, along with NewPage had all filed unfair trade cases in September 2009 with the Commerce Department and the ITC alleging certain coated paper from China and Indosesia had been dumped by margins of 7.6% – 135.83% for China and 20.13% for Indonesia. They also alleged producers or exporters received countervailable subsidies ranging from 17.64% – 178.03% for China, and 17.94% for Indonesia.

“Today’s determination underscores the effects of unfair competition on the U.S. industry, where government subsidies and dumping have suppressed prices and forced mill closures,” said Martin. “The decision will allow the Commerce Department to impose duties to offset the significant levels of dumping and government subsidies that were found to exist last month.”  Martin added, “We will remain committed to this effort and it’s important to remember that we are willing to compete with anyone in the world as long as we have a level playing field.”

Jon Geenen, USW international vice president, said in the press release, “Today’s decision shows that these predatory trade practices by the Chinese and Indonesian exporters are unfair, illegal and injurious to our employers and their workers. We will not ignore the efforts of our foreign competitors who want to violate international trade standards to succeed at the expense of our union members’ jobs – that’s a fight we’ll never back away from.”

The U.S. Customs agency will start applying duties on Chinese and Indonesian coated paper imports once the antidumping and countervailing duty orders are published in the Federal Register. Read the factual highlights from the U.S. International Trade Commission.