WASHINGTON (From news reports) -- Canada's international trade minister is criticizing the U.S. Department of Commerce for nearly doubling duties on softwood lumber, saying the move is unfair and unwarranted.
Minister Mary Ng said the U.S. has significantly increased duties on softwood lumber from Canada, to 14.54 per cent from 8.05 per cent.
"Baseless and unfair U.S. duties on softwood lumber unjustifiably harm consumers and producers on both sides of the border," Ng said in a news release.
It's the latest salvo in a bilateral back-and-forth that Ottawa has described as a drag on efforts to improve the cost and supply of housing.
The increase in the so-called "all others" combined duty rate has received backlash from government and industry in British Columbia.
"We have said from the start and we will say it again now: The only solution is an end to unfair softwood lumber duties," said B.C. Forests Minister Bruce Ralston in a news release.
The U.S. Department of Commerce, under the Tariff Act, determines whether goods are being sold at less than fair value or if they're benefiting from subsidies provided by foreign governments.
Canadian lumber-producing provinces set so-called stumpage fees for timber harvested from Crown land. U.S. producers, who are forced to pay market rates, argue that amounts to an unfair subsidy.
Canadian lumber producers have already paid more than $9 billion in duties, which are held in deposit until this dispute is resolved.
The B.C. Lumber Trade Council said the increase couldn't come at a worse time, exacerbating already challenging conditions.
Print
