China Investigates Cellulose Imports

International Trade & Customs Update

Date: February 07, 2013

Overview

On February 6, 2013, the Chinese government launched an antidumping investigation of imports of cellulose pulp from the United States, Canada and Brazil based on a petition by Chinese pulp, paper, textile and cotton product producers. The alleged dumping margins are 29.86 percent for U.S. companies, 50.49 percent for Canadian companies and 49.45 percent for Brazilian companies.

The scope of the investigation includes imports of cellulose pulp, dissolving pulp, dissolving wood pulp, cotton linter pulp and bamboo pulp imported into China during calendar year 2012 under the tariff numbers 47020000, 47061000 and 47063000. Interested parties have until February 26, 2013 to file a notice of appearance and provide certain preliminary information.

U.S. companies named in the petition are Buckeye Technologies Inc.; Rayonier, Inc.; Cosmo Specialty Fibers, Inc.; Weyerhaeuser Company; and GP Cellulose, LLC. Canadian companies named in the petition are Tembec Inc.; Fortress Specialty Cellulose Inc.; Neucel Specialty Cellulose Ltd.; AV Nackawic Inc.; and AV Cell Inc. The Brazilian company named in the petition is Sateri Holdings Limited.

This antidumping investigation may have an adverse impact not only on an affected company's ability to sell cellulose pulp in China but also on its supply chain if the pulp is used in the company's own Chinese downstream production facilities.

In collaboration with a Chinese law firm with international trade law experience, Thompson Hine's International Trade & Customs practice group can advise and guide affected clients through the process of the Chinese government antidumping investigation.