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US ITC Gives Green Light To Chinese Paper Case

by Mike Godfrey, for LawAndTax-News.com, New York

21 December 2006


The United States International Trade Commission decided last week that the Department of Commerce should continue its investigation of possible dumping of coated free sheet paper from China, Indonesia, and Korea.

NewPage, a Dayton paper manufacturer, had asked the Department of Commerce to impose anti-dumping duties. The Department has filed a notice in the Federal Register asking for public comment on whether it should change a long-standing policy of not applying such duties on products made with government help in non-market economies such as China.

The Department of Commerce expects to reach a preliminary countervailing duty determination in late January, with an anti-dumping determination due in April.

Frank Vargo, vice president of international affairs at the National Association of Manufacturers, said: "This process takes 12 to 18 months, but this is a hugely important first step. This is a landmark case."

NewPage says that China's membership of the World Trade Organization had emboldened it to bring the case, since its WTO obligations may prohibit government support which leads to dumping.


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