Rayonier Seeks US Relief from "Unfairly Traded" Import of High-Purity Dissolving Pulp

Rayonier Advanced Materials has filed petitions with the US Department of Commerce and the US International Trade Commission to seek relief from "unfairly traded" imports of high-purity dissolving pulp from Brazil and Norway. The company is seeking antidumping and countervailing duty relief, which could potentially impact the US imports of dissolving pulp. Rayonier Advanced Materials' stock price rose 4.9% pre-market on Tuesday.

Rayonier Advanced Materials (RYAM) has taken significant steps to address the impact of "unfairly traded" imports of high-purity dissolving pulp (HPDP) from Brazil and Norway. The company has filed petitions with the U.S. Department of Commerce (USDOC) and the U.S. International Trade Commission (USITC) to seek relief from these imports. The petitions allege that Brazilian and Norwegian manufacturers are selling HPDP in the U.S. market at unfair prices, below fair market value or based on government subsidies, thereby materially injuring the U.S. HPDP industry and its workers.

The USDOC will investigate whether dumping and subsidization are occurring, while the USITC will determine whether the U.S. industry is suffering material injury as a result. If both agencies make affirmative findings, duties will be imposed to offset the unfair trade practices. A preliminary determination from the USITC is expected within 45 days, with the USDOC’s preliminary determinations to follow in the coming months.

The move by Rayonier Advanced Materials comes amid a challenging period for the company. In its latest quarterly report, the company reported a loss of $0.43 per share, which was a significant miss compared to the Zacks Consensus Estimate of a loss of $0.2 per share [1]. This quarterly report represented an earnings surprise of -115.00%. The company has not been able to beat consensus revenue estimates over the last four quarters, with revenues of $340 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 15.9% [1].

Despite the recent financial challenges, Rayonier Advanced Materials' stock price saw a notable increase of 4.9% pre-market on Tuesday following the announcement of the trade petitions. This rise may be attributed to investor optimism about the potential for relief from unfair trade practices, which could help stabilize the company's market position and support its operations.

The filing of these petitions is part of a broader trend in the industry, with other companies also seeking relief from unfair trade practices. For instance, Daqo New Energy (DQ), a solar panel parts maker, is expected to post a quarterly loss of $1.16 per share in its upcoming report, which represents a year-over-year change of +35.9% [1].

Investors should closely monitor the developments surrounding these petitions and the company's future earnings outlook. The sustainability of Rayonier Advanced Materials' stock price will depend on how the trade petitions are resolved and the company's ability to meet or exceed market expectations in the coming quarters.

References:
[1] https://finance.yahoo.com/news/rayonier-advanced-materials-ryam-reports-231501822.html
[2] https://seekingalpha.com/news/4483840-rayonier-to-seek-us-relief-from-unfairly-traded-imports-of-high-purity-dissolving-pulp
[3] https://www.marketscreener.com/news/ryam-and-usw-petition-the-u-s-government-for-relief-from-unfairly-traded-imports-of-high-purity-dis-ce7c51dad980f224