In accordance with the provisions of Regulations of the People's Republic of China on Anti-dumping (hereinafter referred to as the "Anti-dumping Regulations"), on February 6, 2013, the Ministry of Commerce (hereinafter referred to as the “Investigation Authority”) issued Announcement No. 10 of 2013, deciding to carry out anti-dumping case-filling investigation into the imports of cellulose pulp originated in the U.S., Canada and Brazil (hereinafter referred to as the “product under investigation”).

The Investigation Authority has carried out investigation into the existence of dumping and dumping margin, the injuries to cellulose pulp industry of China by the product under investigation and the extent thereof. According to findings of the investigation and Article 24 of the Anti-dumping Regulations, the Investigation Authority makes its preliminary ruling (see the annex). Relevant matters are hereby announced as follows:

I. Preliminary Ruling
It is preliminarily ruled by the Investigation Authority that, during the investigation period of this case, the product under investigation was involved in dumping and the cellulose pulp industry of China was materially injured, and there was causality between the dumping and injury.

II. Levy of Security Deposit
In accordance with Article 28 and Article 29 of the Anti-dumping Regulations, the Investigation Authority decides to carry out a provisional anti-dumping measure by levy of security deposit. As of November 7, 2013, the import operators, when importing the product under investigation, shall pay corresponding security deposits to the Customs of the People’s Republic of China at the rate of security deposit determined by this preliminary ruling.
The detailed description of the product under investigation is as follows:
Scope of investigation: imports of cellulose pulp originated in the U.S., Canada and Brazil.
Name of the product under investigation: cellulose pulp, or dissolving pulp, or dissolving wood pulp, or cotton linter pulp, or bamboo pulp.

Detailed description: cellulose pulp refers to a type of plant fiber-based cellulosic material that is manufactured through processing mainly for the purpose of producing such chemical fibers as viscose (excluding cellulose acetate fiber).

Main usage: cellulose pulp is mainly used for the production of such chemical fibers as viscose (e.g. viscose staple fiber and viscose filament yarn), excluding cellulose acetate fiber.

The product is included under tariff numbers of 47020000, 47032100, 47061000 and 47063000 in the Customs Import and Export Tariff of the People’s Republic of China. In addition, the following three requirements shall be complied at the same time: 1. Viscosity ≧3.7 dl/g and ＜6.4 dl/g; or viscosity ≧350 ml/g and ＜700 ml/g; 2. Content of α cellulose (R18, sulphate process)≧88% and ＜95.5%, or content of α cellulose (R18 sulphite process)≧87% and ＜94%; 3. Ash content (725℃)≦0.15%.
 
Rates of security deposit imposed on various companies are as follows:
U.S. companies:
(1) Cosmo Specialty Fibers, Inc. 18.7％
(2) Rayonier Performance Fibers, LLC 21.7％
(3) Weyerhaeuser NR Company 20.2％
(4) GP Cellulose LLC 20.2％
(5) Buckeye Technologies Inc. 20.2％
(6) All others 29.8％

Canadian companies:
(1) Neucel Specialty Cellulose Ltd. 0％
(2) Fortress Specialty Cellulose Inc. 13.0％
(3) AV Nackawic Inc. and AV Cell Inc. 13.0％
(4) Tembec 13.0％
(5) All others 50.9％

It is investigated that the dumping margin of Neucel Specialty Cellulose Ltd. is 0.7%, which falls into de minimis dumping margin under Article 27 of the Anti-dumping Regulations. Therefore, the security deposit for Neucel Specialty Cellulose Ltd. is exempted.

Brazilian companies:
(1) Bahia Specialty Cellulose S.A. 6.8％
(2) All others 49.4％

III. Methods of Levy of Security Deposit
As of November 7, 2013, import operators shall, according to the rate of security deposit of each company as determined in this preliminary ruling, pay relevant security deposits to Customs of the People’s Republic of China when importing the product under investigation. The security deposit shall be levied by means of ad valorem on the basis of dutiable value authorized by Customs, and the calculation formula is: Security deposit = (dutiable value authorized by Customs x rate of security deposit) x (1 + rate of import value-added tax).

IV. Comments
All interested parties may, within ten days as of issuance of the Announcement, submit their written comments attached with relevant evidence to the Investigation Authority, which will consider the same according to the law.

Ministry of Commerce of the People’s Republic of China

November 6, 2013