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USTR To Investigate Canadian Paper Mill Subsidies

U.S. Trade Representative Ron Kirk said Oct. 4 that he will quickly investigate the details of a financial package offered by the provincial government of Nova Scotia to a paper mill in Port Hawkesbury. His comments responded to a Sept.…

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26 letter from Rep. Mike Michaud (D-Maine), which asked the USTR to determine if the deal is consistent with Canada's North American Free Trade Agreement and WTO commitments. The situation could significantly affect Maine's paper mills and the jobs and small businesses they support, Michaud wrote. The USTR agreed that news reports have “raised troubling questions about potential injurious and/or WTO-inconsistent subsidies.” Kirk said his office will seek information from the Canadian government and that the U.S. will also raise the issue at meetings this month of the WTO committee on subsidies.