Skip to main content

AF&PA Testifies on Section 301 Investigation into Structural Excess Capacity

Urges evidence‑based review that supports market‑based competition and a level playing field for U.S. paper manufacturing

WASHINGTON — The American Forest & Paper Association (AF&PA) today testified before the Office of the United States Trade Representative (USTR) in support of its Section 301 investigation into structural excess capacity and other non‑market practices that can distort global paper manufacturing markets.

“Trade policy shapes manufacturing decisions,” said David Ross, AF&PA Director of Government Affairs. “We support a fact‑based review of excess capacity, while avoiding measures that could put U.S. jobs, investment or operations at risk.”

Ross urged the Section 301 Committee to take a careful, evidence‑based approach that supports market‑based competition and a level playing field for U.S. pulp and paper manufacturers and workers.

In his testimony, Ross pointed to data showing large capacity expansions and rising exports that may not match market demand, including in China. AF&PA also encouraged USTR to examine potential trade remedy evasion through transshipment and downstream conversion that can undermine existing enforcement efforts.

At the same time, AF&PA cautioned against remedies that could unintentionally raise costs for critical industrial machinery used to enhance U.S. manufacturing operations. Such costs increases could delay mill modernization, reduce investment and weaken global competitiveness for U.S. manufacturers.

AF&PA looks forward to continued engagement with USTR as the Section 301 process moves forward.

The American Forest & Paper Association (AF&PA) serves to advance public policies that foster economic growth, job creation and global competitiveness for a vital sector that makes the essential paper and packaging products Americans use every day. The U.S. forest products industry employs more than 925,000 people, largely in rural America, and is among the top 10 manufacturing sector employers in 44 states. Our industry accounts for approximately 4.7% of the total U.S. manufacturing GDP, manufacturing more than $435 billion in products annually. AF&PA member companies are significant producers and users of renewable biomass energy and are committed to making sustainable products for a sustainable future through the industry’s decades-long initiative — Better Practices, Better Planet 2030