PPRC Position Paper on International Trade Issues
The PPRC supports renewing the USMCA, preserving access to specialized pulp and paper manufacturing equipment and machinery, simplifying EUDR, and holding non-market economies like China accountable to ensure the U.S. pulp and paper industry remains globally competitive.
US-Mexico-Canada Agreement (USMCA) Renewal
- The U.S. forest products industry depends on Canada and Mexico as key trade partners; stable, long‑term access to the North American market is critical to maintaining global competitiveness.
- Our supply chain is complex and deeply integrated across North America, with products—including food and agricultural packaging and auto parts packaging—often crossing borders multiple times.
- In 2025, two‑way pulp and paper trade totaled over $14.3B with Canada and $6.7B with Mexico.
Specialized Pulp and Paper Manufacturing Equipment and Machinery
- Current tariff policies threaten investment in the pulp and paper industry, particularly on specialized equipment that is not available—or not produced at scale—in the U.S.
- PPRC is urging the Administration (Commerce, White House, and USTR) to provide targeted tariff relief on critical manufacturing equipment to support facility investment, expansion, and U.S. manufacturing jobs.
EU Deforestation Regulation (EUDR)
- Despite strong opposition from industry, labor, and the U.S. government, the EU is moving forward with EUDR implementation, contrary to commitments made in the 2025 U.S.-EU trade agreement. The U.S. should hold the EU accountable and prevent undue trade impacts on U.S. producers.
- PPRC supports the U.S.-EU trade agreement and urges USTR to ensure the EU follows through on its commitments.
Pulp and Paper Overcapacity in non-market Economies
- The pulp and paper industry is actively engaging with USTR on the Section 301 investigation into excess manufacturing capacity, including overcapacity concerns in non-market economies such as China.
- While U.S. industry remains globally competitive, maintaining a level playing field is essential. We support strong enforcement against unfair trade practices while preserving investment, operational flexibility, and competitiveness for U.S. producers.
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