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China slaps dumping penalties on pulp imports
by Staff Writers
Beijing (AFP) Nov 06, 2013


China will impose punitive measures on certain pulp products from the United States, Canada and Brazil for alleged dumping, it said Wednesday, in the latest trade dispute with foreign partners.

Importers of cellulose pulp from the three countries will have to pay a deposit of up to 50.9 percent of the import price from Thursday, the commerce ministry said in a statement.

Cellulose pulp is used in papermaking, textiles, food and other products, with China's total imports worth around $4.7 billion last year, according to Customs data.

Dumping happens when a product is sold at below-market prices.

A one-year investigation that started early last year has come to a "preliminary" conclusion that US, Canadian and Brazilian companies dumped the product in China, the statement said.

"China's cellulose pulp industry suffered material damage" as a result, it said.

The world's second-largest economy is at loggerheads with its major trade partners over a string of products, from solar panels to wine.

The United States, the European Union and Japan complained to the World Trade Organisation in March over a quota China applied for rare earths exports, arguing that the Chinese industry was seeking to benefit improperly from a dominant market position.

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