Tariffs enforced on cheap foreign paper in bid to save jobs at Maryvale Mill
CHEAP foreign imported copy paper will be slapped with tariffs in a bid to protect 1000 jobs in the Latrobe Valley at Australia’s only A4 copy paper manufacturer.
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CHEAP foreign imported copy paper will be slapped with tariffs in a bid to protect 1000 jobs in the Latrobe Valley.
The Federal Government has announced it will impose “dumping duties” on A4 copy paper exported to Australia from Brazil, China, Indonesia and Thailand.
The government has also imposed duties on A4 copy paper exports from uncooperative Chinese exporters.
The decision will directly benefit Australian Paper’s Maryvale Mill — owned by Japanese giant Nippon — which is the single biggest employer in the struggling eastern Victorian region.
The mill — Australia’s only manufacturer of A4 copy paper — has been under siege from foreign imports sold below market price.
The four countries account for about 94 per cent of A4 copy paper imported to Australia.
Earlier this year — at the urging of the Construction Forestry Mining Energy Union — workers at the mill agreed to a 5 per cent pay cut.
The union has been a long-time advocate for anti-dumping measures.
Federal Assistant Minister for Industry Craig Laundy said the decision to impose the duties came after considering the Anti-Dumping Commissioner’s recommendations from an inquiry into dumping and countervailing investigation into imported A4 copy paper.
The Anti-Dumping Commission found earlier this year that copy paper from Brazil, China, Indonesia and Thailand were dumped with dumping margins ranging between 2.9 per cent and 45.1 per cent.
It also found that exports of copy paper from uncooperative exporters in China received subsidies with of up to 7 per cent.
The report found the “dumped” and subsidised imports had caused material injury to the local industry.
“The A4 copy paper investigation has been complex and consequently lengthy,” Mr Laundy said.
“It involved numerous parties including 11 exporters, nine importers and three governments.
He said the measures imposed would provide an effective safeguard to Australian Paper from the effects of dumped and subsidised imports from the four countries subject to this investigation.
Mr Laundy said almost 100 per cent of the exports from China — the largest source of A4 copy paper imported into Australia — would be subject to a dumping margin of 34.4 per cent.
“This decision is about ensuring a level playing field between Australia and our trading partners.”
Labor industry spokesman Kim Carr has been critical for the Federal Government delay in taking action.
He said the commission had made it clear that Australia’s paper industry has suffered as a result of dumped A4 copy paper.
“Australian manufacturers and workers need to know whether these preliminary findings are being upheld and that Australian industry will be able to compete on a level playing field — not be undercut by dumped foreign paper,” Senator Carr said this week.