Karachi: The National Tariff Commission of Pakistan has extended anti-dumping duties on Chinese imports of Coated Bleached Paperboard (CBB), including two-side coated variants, to safeguard domestic manufacturers from unfair competition. The decision, effective until February 27, 2027, aims to address attempts by Chinese exporters to circumvent earlier duties by modifying their products.

According to JS Global, the initial duties of 29.02% were imposed in 2017 on Chinese one-side coated CBB, which were later extended in 2022. However, Chinese exporters began shipping two-side coated paperboard to avoid these duties, prompting a circumvention investigation by the National Tariff Commission. The investigation concluded that the product modification was a deliberate effort to evade duties, leading to the inclusion of two-side coated products under the existing anti-dumping framework.

Major local producers, such as Century Paper and Board Mills Ltd and Bulleh Shah Packaging (Pvt.) Ltd, had faced significant margin compressions due to the price undercutting by imports. Before the duties, Century Paper's gross margins dropped to 7.8% in 2024 from 20.2% in 2023, while Bulleh Shah's margins fell to 4.5% from 16.3% in the same period. The National Tariff Commission's ruling is expected to restore market balance and potentially recover gross margins for domestic manufacturers.

The Commission's decision follows the resumption of proceedings after the vacation of stay orders by the High Courts. The Central Executive Paper and Board (CEPB) highlighted in its September 2025 quarterly report that the imposition of these duties is anticipated to alleviate pressures on domestic manufacturers' margins.