(Ottawa) Canada has officially begun the process to challenge “unjustified and unfair” US tariffs on softwood lumber exports.
Posted at 8:09 p.m.
The Canadian government on Monday filed a notice of dispute under the dispute settlement mechanism of the Canada-United States-Mexico Agreement (CUSMA).
In a statement, International Trade Minister Mary Ng says U.S. tariffs are hurting Canadian businesses and workers, but they’re also another tax on Americans who are already struggling with inflation. and problems in the supply chain.
The U.S. Commerce Department lowered anti-dumping and countervailing tariffs on Canadian softwood lumber products from 17.91% to 8.59% earlier this month, but Minister Ng reaffirmed Ottawa’s challenge them.
The United States’ main argument to justify these tariffs on Canadian exports is that the timber-producing provinces set stumpage fees for timber harvested on Crown land. However, American producers, forced to pay for their wood according to market rates, argue that this Canadian regime amounts to an “unfair subsidy”.
Minister Ng said the federal government is ready to find a “negotiated solution to this long-standing trade issue”.