Headline:
U.S. Nearly Doubles Duties on Canadian Softwood Lumber, Sparking Backlash
Subheadline:
New 14.54% Duty Rate Set by U.S. Department of Commerce; Canadian Officials Decry Decision as Unfair
Body:
The U.S. Department of Commerce has announced a sharp increase in duties on Canadian softwood lumber imports, raising the rate from 8.05% to 14.54%. The decision, revealed to trade groups and officials on Tuesday, has been met with strong opposition from Canadian authorities.
Mary Ng, Canada’s Minister of Export Promotion, International Trade, and Economic Development, expressed her disappointment, labeling the duties as “baseless and unfair.” She warned that the increase would harm consumers and producers on both sides of the border. Bruce Ralston, British Columbia’s Minister of Forests, echoed these sentiments, calling the U.S. decision “immensely disappointing.”
The U.S. Lumber Coalition defended the new rate, claiming it reflects continued Canadian subsidies that distort the U.S. market. However, Kurt Niquidet, President of the B.C. Lumber Trade Council, dismissed these claims as without merit, emphasizing the negative impact on production and communities reliant on the forest sector.
Canadian officials, including Ng, have vowed to challenge the duty hike through litigation under NAFTA, CUSMA, and at the World Trade Organization, seeking a lasting resolution to the long-standing dispute.