USITC rules out injury to U.S. industry from dissolving pulp imports from Brazil and Norway
The decision prevents proposed antidumping and countervailing duties on Brazilian and Norwegian high-purity dissolving pulp from taking effect, following a negative final assessment of the impact on domestic producers
The U.S. International Trade Commission (USITC) has determined that imports of high-purity dissolving pulp from Brazil and Norway do not materially injure, or threaten to materially injure, the U.S. domestic industry. The decision rules out the implementation of proposed antidumping and countervailing duties on the products.
Announced on November 6, 2026, the ruling follows final affirmative determinations by the U.S. Department of Commerce, which found that Brazilian and Norwegian imports were being sold in the U.S. market at less than fair value. Brazilian imports were also found to benefit from government subsidies.
The investigations focused on high-purity dissolving pulp (HPDP), a highly refined cellulose material primarily used in the production of viscose and other specialty fibers. The product was classified under HTS subheading 4702.00.00 during the proceedings.
The cases involved imports from two major producing countries: Brazil, represented by Bracell, and Norway, represented by Borregaard.
The final determination reverses the Commission’s preliminary position from September 2025, when it concluded that there was a reasonable indication that imports from both countries were materially injuring the U.S. industry, allowing the investigations to move forward.
PROPOSED DUTIES WILL NOT TAKE EFFECT
The Department of Commerce had established a combined duty rate of 15.77% for Brazilian high-purity dissolving pulp. This consisted of a 6.40% antidumping cash deposit rate and a 9.37% countervailing duty rate. Norwegian producer Borregaard was assigned an antidumping duty rate of 6.51%.
Under U.S. trade law, however, duties cannot be imposed without an affirmative injury determination from the USITC. Consequently, the Commission’s negative final finding brings the investigations to an end, meaning that no antidumping or countervailing duty orders will be issued.
For importers, the outcome means that cash deposits collected during the investigations must be refunded and the suspension of liquidation lifted.
INVESTIGATION BACKGROUND
The petitions were filed in August 2025 by Rayonier Advanced Materials, a U.S. specialty cellulose producer, and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union (USW).
The petitioners alleged that imports from Brazil and Norway were being sold in the United States at unfairly low prices and that Brazilian products benefited from government subsidies.
Although the Department of Commerce subsequently issued affirmative final determinations regarding the dumping and subsidy allegations, the USITC conducted a separate assessment of the impact on domestic producers. Its final conclusion was that imports from the two countries did not meet the legal threshold for material injury or the threat of material injury to the U.S. industry.
The Commission’s detailed report, High Purity Dissolving Pulp from Brazil and Norway (Investigation Nos. 701-TA-777 and 731-TA-1762–1763), is scheduled for publication on December 21, 2026.
