3 Paper Companies, USW file suit over paper imports
3 paper companies and the United Steelworkers Union have filed a suit with the International Trade Commission against China and Indonesia because of the dumping of paper onto the U.S. market at below the cost of production. This is an issue that Mainers are watching closely since paper is one of our biggest industries and is a big part of our state's economy. As we saw last year in Jay, the loss of a paper mill is devestating for a town.
The ITC will decide if they should put a tariff on paper (coated free sheet, specifically) from China and Indonesia.
We know that corporations that have set up shop in China aren't following the rules, and that the unfair trade is costing Maine jobs. But how are they doing it?
A little reseach found information about what working and environmental conditions are like in China and Indonesia, and explains a lot.
Workers in paper factories in China:
- Recieve little to no training on the machinery
- Work in unsafe conditions where injuries or death are not uncommon
- Sometimes are hired as young as age 13
- Get paid as little as $113/ month
- Only have 2 rest days per month
Read more: http://www.chinalaborwatch.org/4-29%20Liupan.pdf
Additionally, the companies in Indonesia use are illegal logging practices, which has led to deforestation in order to supply cheap timber resources to the mills.
So the paper coming into the US market is undervalued due to exploitation of workers and the environment.
Additionally, the governments of those countries are subsidizing the companies, making it even cheaper to produce paper.
MFTC Board Member Dan Lawson is conducting inteviews across Maine of people who have been effected by trade in their communities, or would be if we don't do something to change now. Check out his You Tube videos- http://www.youtube.com/results?search_query=dlawsonaam&search_type=&aq=f
