The U.S. International Trade Commission has released its formal decision regarding the decision to reverse tariffs imposed earlier this year on Canadian newsprint.
Among its key findings were: transportation costs, availability and reliability of supply were as important or more important than price to newsprint consumers; Canadian imports did not depress domestic prices; and the domestic newsprint industry’s poor performance was not due to competition from subject imports, but rather was the result of the decline in demand and the shift in demand to a lighter-weight newsprint that most domestic producers could not or would not produce.
Also on Oct. 18, NORPAC issued a notice of its intent to seek judicial review of the ITC’s decision at the Court of International Trade. While this step is required to challenge the determination, it does not obligate NORPAC to do so. The Canadian government and manufacturers would still have to determine if they wanted an appeal to be heard, and such an appeal would likely take years.
On Aug. 29, the ITC voted unanimously that imports of uncoated groundwood paper from Canada do not cause material harm to the U.S. paper industry. Preliminary tariffs were first imposed in January after a trade case was brought by NORPAC. The tariffs drove up the cost of newsprint by nearly 30 percent, forcing many newspapers to reduce their print distribution and cut staff.
