Fortress Paper, Vancouver, B.C., Canada, reported this past week that the World Trade Organization (WTO) issued its panel report finding in favor of Canada in a dispute relating to China’s imposition of anti-dumping measures on Canada’s dissolving pulp industry. The WTO panel concluded that China’s Ministry of Commerce (MOFCOM) failed to conduct its injury investigation in accordance with its WTO obligations.

The timeframe provided to China to comply with the decision will be negotiated by Canada and China or established by an independent arbitrator. At the end of this period, Canada could decide to initiate WTO compliance proceedings if it is of the view that China did not implement the panel’s decision properly. 

Fortress Paper is of the view that a proper implementation of the panel decision should result in China removing anti-dumping duties on imports of Canadian dissolving pulp. 

Yvon Pelletier, CEO of Fortress Paper, said that "we are gratified by the WTO panel ruling and congratulate the Government of Canada, its legal team, and dedicated government officials who provided unwavering support and commitment through more than two years of effort. Our relationships with viscose producers in China remain strong despite the challenges these duties presented to our business, and we are encouraged that, following implementation of this decision, our dissolving pulp sales channels will benefit through the expansion of business opportunities in China. In the meantime, we continue our efforts to optimize customer mix and geographical diversification."

 

Fortress Paper operates internationally in two distinct business segments: dissolving pulp and security paper products. The company operates its dissolving pulp business at the Fortress Specialty Cellulose mill located in Canada, which has expanded into the renewable energy generation sector with the construction of a cogeneration facility. The company operates its security paper products business at the Landqart Mill located in Switzerland, where it produces banknote, passport, visa, and other brand protection and security papers.