Canada Slaps Heavy Duties on Chinese Thermal Paper Imports

Published: 01/26/2026
Trade Protectionism Anti-dumping Duties Thermal Paper Rolls
Canada imposed anti-dumping and countervailing duties of up to 359.1% on thermal paper rolls from China, significantly impacting the competitiveness of Chinese products in the Canadian market. This action exemplifies the rise of trade protectionism and serves as a warning to Chinese enterprises to closely monitor international trade policy changes, proactively address challenges, and consider diversifying their export markets. The high tariffs create a substantial barrier to entry and highlight the need for Chinese companies to develop strategies to mitigate the impact of such protectionist measures.
Canada Slaps Heavy Duties on Chinese Thermal Paper Imports

A recent ruling has reignited trade tensions between China and Canada. The Canadian International Trade Tribunal (CITT) announced on January 8, 2026, that thermal paper rolls originating in or exported from China were being dumped and subsidized, causing material injury to Canada's domestic industry. This decision subjects Chinese exporters to combined anti-dumping and countervailing duties reaching 359.1%, effectively eroding the price competitiveness of Chinese products in the Canadian market.

The Canada Border Services Agency (CBSA) will impose a 282.1% anti-dumping duty and a 77.0% countervailing duty on the affected products, totaling 359.1%. These measures took immediate effect and will remain in place for five years, with no current indications of modification.

Product Specifications

The affected products are specifically defined as thermal paper rolls with a nominal width not exceeding 15 centimeters and a nominal paper weight of 70 grams per square meter or less. These must be coated on one or both sides with a thermally active layer (composed of dye and developer that react to heat to form images). Notably, thermal paper rolls with adhesive backing are excluded from these duties. Exporters are advised to carefully review product specifications to avoid unnecessary losses.

Market Impact

Thermal paper, a specialty coated paper that produces images when heated, is widely used in thermal printers, fax machines, and POS systems as receipt and ticket stock. Its demand correlates closely with commercial activity and holds significant importance in global trade.

According to CBSA import data, Canada's thermal paper market was valued at approximately $80 million in 2023 and $71 million in 2024. Chinese products have dominated this market, holding a 40-45% share and making Canada a crucial export destination. Cumulative exports from China to Canada totaled about $48.9 million between 2021 and 2024. The new duties will substantially impact Chinese exporters.

Broader Implications

Trade experts view Canada's move as another manifestation of rising protectionism. As global economic pressures intensify, trade friction risks continue to escalate. Chinese companies are advised to closely monitor international trade policy changes and enhance competitiveness through technological innovation and product upgrades. Diversifying export markets to reduce dependence on any single destination may help mitigate trade risks.

This development serves as a reminder for businesses engaged in international trade to remain vigilant about import regulations and compliance requirements. Strengthening communication with industry associations could also help safeguard legitimate interests in such disputes.

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