Lumber Coalition Calls on Canada to Engage on New Softwood Agreement
Following the Oct. 12 expiration of the 2006 Softwood Lumber Agreement between the U.S. and Canada (see 1510070032), the two countries should negotiate a new agreement, said the U.S. Lumber Coalition in a news release (here). Now outdated due to…
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the evolving timber industry, the agreement was originally meant to "reduce the competitive imbalances caused by subsidies growing out of Canadian provincial government control of most of the fiber supply used to produce softwood lumber in Canada and to minimize the harmful effects of unfairly subsidized imports in the U.S. lumber market," said the group. A new agreement is needed but the Canadian government "has so far been unwilling to enter into negotiations on a new trade agreement," the coalition said. While the U.S. Lumber Coalition previously committed not to file petitions under the U.S. trade laws for one year after the expiration of the 2006 agreement, the group threatened eventual legal action. “If Canada continues to stay away from the negotiating table, the U.S. industry will eventually have no choice but to use our rights under U.S. trade laws to offset the unfair advantages provided to Canadian industry,” said Charlie Thomas, chairman of the coalition.