ITC: Canadian softwood lumber harms U.S. producers

The International Trade Commission’s (ITC) determination that U.S. softwood lumber producers are harmed by similar products from Canada allows the continued imposition of U.S. antidumping and countervailing duty orders against these imports.    The International Trade Commission (ITC) said U.S. softwood lumber producers are harmed by similar products from Canada, which are both subsidized by the Canadian government and dumped in the United States at less than fair value. 
   The ITC’s determination allows the Commerce Department to continue with issuing antidumping and countervailiing duty orders on softwood lumber imports from Canada.
   Commerce determined in early November that exporters from Canada have sold softwood lumber in the United States at 3.2 percent to 8.89 percent less than fair value. In addition, the department determined that Canada is providing subsidies to its softwood lumber producers at rates from 3.34 percent to 18.19 percent
   The antidumping and countervailing investigations not only covered general softwood lumber, but related products such as siding, flooring, molding and dowel rods. These imports from Canada in 2016 were valued at $5.8 billion.
   The petitioner for the Commerce antidumping and countervailing duty investigations into Canadian softwood lumber imports is the Committee Overseeing Action for Lumber International Trade Investigations or Negotiations, whose members include the U.S. Lumber Coalition of Washington, D.C.; Collum’s Lumber Products in South Carolina; Hankins, Inc. of Mississippi; Potlatch Corp. and Weyerhaeuser, both of Washington; Rex Lumber Co. in Florida; Sullivan Forestry Consultants of Georgia; Sierra Pacific Industries in California; and Seneca Sawmill Co., Stimson Lumber Co., Swanson Group, Carpenters Industrial Council, Giustina Land and Timber Co. of Oregon.
   The U.S. Lumber Coalition applauded the ITC’s announcement.
   “With the enforcement of U.S. trade laws, Iumber mills across the country will be able to make important investments in employees and mill operations so we can expand production to meet demand,” said Joe Patton, U.S. Lumber Coalition co-chairman and vice president of wood products at Westervelt Co. 
   The Canadian government has continued to dispute the U.S. investigations’ findings against its softwood lumber industry.
   “As we have said throughout this dispute, punitive U.S. countervailing and antidumping duties on Canadian softwood lumber are unwarranted and troubling. They are harmful to Canada and to lumber consumers in the United States,” Chrystia Freeland, Canada’s foreign affairs minister, said in a statement.
   “In recent weeks, Canada has begun legal challenges against the U.S. duties on Canadian softwood under NAFTA and before the WTO (World Trade Organization),” she added. “We will continue to consult with the provinces, the territories and Canadian industry and workers on a durable solution to this vital issue.”