Executive Council
Fisheries and Land Resources

March 14, 2018

Premier Ball Concerned with the United States’ Protectionist Actions

The Honourable Dwight Ball, Premier of Newfoundland and Labrador, is speaking out over the ongoing protectionist actions of the Trump administration that are adversely impacting the province’s forestry industry, and in particular Corner Brook Pulp and Paper.

Premier Ball’s frustration with the United States follows a preliminary 22.16 per cent anti-dumping duty that was imposed on Kruger, including Corner Brook Pulp and Paper. This duty is on top of the preliminary 9.93 per cent countervailing duty that was imposed on the company in January, 2018. The anti-dumping duties will come into force five days from now.

Corner Brook Pulp and Paper employs more than 500 individuals and is at the centre of Newfoundland and Labrador’s integrated forestry industry. The forestry industry is valued at $286.5 million annually and directly and indirectly employs over 5,000 people in pulp and paper, sawmilling, harvesting and value-added industries.

A technical briefing and media availability related to the United States preliminaries duties on Canadian newsprint will be provided today (Wednesday, March 14) at 3:00 p.m. The briefing will take place in the Media Centre located on the Ground Floor, East Block, Confederation Building.

Premier Ball and the Provincial Government have had ongoing communications on the seriousness of the tariffs on the provincial industry with officials from the United States and the Federal Government, including federal ministers and the Prime Minister. This advocacy will continue.

Information related to the United States’ anti-dumping and countervailing duty investigation can be found in the enclosed backgrounder.

Quotes
“The continued attacks by the United States on Canadian and local industries are unwarranted and punitive. Corner Brook Pulp and Paper has not been the influencer in these attacks but caught in the middle of larger trade disputes. We stand by our support of the company and the individuals and families that make their livelihood off the forestry and will continue to work with them to support this industry.”
Honourable Dwight Ball
Premier of Newfoundland and Labrador

“We will not passively accept the current circumstances unjustly imposed upon us. Despite today's difficult news, we are optimistic and unwavering in our resolve to seek solutions and alternatives to the status quo. This government continues to stand firm with our forestry sector, as together we work to develop and foster more opportunities to grow the industry.”
Honourable Gerry Byrne
Minister of Fisheries and Land Resources

“The United States Department of Commerce is pursuing an approach to trade that negatively impacts their economy and ours. The original tariff imposed in January was not justified and this new tariff is also misguided. Premier Ball and our government are working hand in hand with our federal counterparts to minimize these negative impacts on the pulp and paper industry in the Corner Brook region.”
Honourable Eddie Joyce
Minister of Municipal Affairs and Environment and MHA for Humber - Bay of Islands

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Learn more
Premier Ball Expresses Disappointment with United States Department of Commerce; Stands by Corner Brook Pulp and Paper - gov.nl.ca/releases/2018/exec/0109n03.aspx

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Media contacts
Michelle Cannizzaro
Office of the Premier
709-729-3960
michellecannizzaro@gov.nl.ca 

Connie Boland
Fisheries and Land Resources
709-637-2923, 640-6409
connieboland@gov.nl.ca

Kristina George
Government Members Office
709-729-5306, 693-7488
kristinageorge@gov.nl.ca

BACKGROUNDER
United States Department of Commerce’s Anti-Dumping and Countervailing Duty Investigation

In August 2017, the United States Department of Commerce launched an anti-dumping and countervailing duty investigation into Canada’s groundwood paper industry, which includes a range of goods including standard newsprint, high bright newsprint, book publishing, directory, and printing and writing papers. Their investigation focused on Resolute Paper Company in Quebec, Catalyst Paper in British Columbia, and Kruger’s operations in Newfoundland and Labrador and Quebec.

An Anti-Dumping and Countervailing Duty Investigation is a domestic process the United States uses to determine whether goods imported from another country are harming its domestic industry. The anti-dumping portion of the investigation focuses on whether a good has been sold in the United States market at lower prices than sold in a domestic market. The countervailing duty portion of the investigation focuses on whether a good has been subsidized by a foreign government.

2018 03 14                                                   11:45 a.m.