Trade Ruling in favor of China on imported paper A federal trade panel ruled November 20 against the American glossy paper industry’s request for tariffs on imported Chinese paper. The decision threw out duties that had been authorized by the Bush administration early this year. The ruling, by the United States International Trade Commission, a quasijudicial body that makes its determinations independently, found that the NewPage Corporation and other makers of glossy or coated paper had not been “materially injured” or “threatened with material injury” from the subsidies.
The ruling did not dispute that the subsidies might be improper or illegal, only that the paper producers had not been harmed by them. Also left intact was the Bush administration policy, adopted in March, that imposed potentially steep tariffs on Chinese manufactured goods on the ground that China illegally subsidizes some of its exports, including paper. NewPage said it was “very disappointed” by the ruling and might appeal. (Source: Steven R. Weisman, New York Times, Nov 21, 2007).