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British Columbia to fight softwood lumber duties

About half of Canada’s softwood lumber exports to the United States originate from B.C.
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The United States Department of Commerce has announced its final determination of duties to be applied to the majority of Canadian softwood lumber shipped to the U.S. Ezra Black/The Free Press

Office of the Premier

VICTORIA - Premier John Horgan re-affirmed his commitment recently to stand-up for British Columbia workers, families and communities in light of the latest development in the softwood lumber dispute.

The United States Department of Commerce has announced its final determination of duties of 20.83 per cent to be applied to the majority of Canadian softwood lumber shipments entering the U.S.

The final countervailing duty rate is 14.25 per cent (a decrease from the preliminary rate 19.88 per cent) and the final anti-dumping duty rate is 6.58 per cent (a decrease from the preliminary rate 6.87 per cent).

“We will continue to fight for the 60,000 British Columbians who depend on forestry,” said Premier Horgan. “The forest sector is an integral part of B.C.’s sustainable economy, and we will make sure workers, families and communities have the support they need to mitigate the impact of these duties. The reduction in rates by the U.S. Department of Commerce further indicates the strength of our appeal case and strengthens our resolve to fight for B.C.”

About half of Canada’s softwood lumber exports to the United States originate from British Columbia, and the United States is British Columbia’s largest market for softwood lumber products. Over the past year, high lumber prices have helped to mitigate the impact of the softwood lumber duties on B.C. companies.

“This trade action is being driven by the protectionist United States lumber lobby, whose sole purpose is to constrain imports of high-quality Canadian lumber and to drive up lumber prices for their own benefit,” said Susan Yurkovich, president of the BC Lumber Trade Council. “This trade action ultimately punishes American consumers who are now paying higher prices for Canadian lumber when they buy, build or renovate their homes.”

“The U.S. continues to attack its closest friend, neighbour and ally while domestically the U.S. lumber coalition continues to put the interest of its members ahead of what is good for the American economy and American consumers,” said Bruce Ralston, Minister of Jobs, Trade and Technology. “The U.S. lumber industry cannot produce enough lumber to meet U.S. demand. A reliable source of softwood lumber products from B.C. and Canada will benefit the U.S. housing industry and American home-buyers.”

British Columbia will be supporting the federal government in appealing the U.S. Department of Commerce’s findings. The appeals cannot be filed until after the U.S. International Trade Commission issues its determination in December.

“The dispute with the U.S. highlights the need to grow other markets for B.C. wood products. To that end, I’m leading a forestry sector trade mission with over 35 senior forestry executives to China and Japan later this month. This mission builds on previous work done to grow these important markets,” said Forests, Lands, Natural Resource Operations and Rural Development Minister Doug Donaldson. “As well, we’re also committed to expanding our innovative wood products sector and developing public sector procurement policies that prioritize the use of B.C. wood.”

British Columbia’s forest sector is an integral part of a sustainable economy. In 2016, the B.C. forest sector supported 60,000 direct jobs and one in four manufacturing jobs. The B.C. government is committed to working with communities and industry to create more B.C. jobs from every tree harvested in B.C.

To learn more, go to: www.gov.bc.ca/softwoodlumber

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Premier John Horgan says the province will continue to oppose softwood lumber duties imposed by the United States.