The Honourable Mary Ng, Minister of Export Promotion, International Trade and Economic Development, issued the following statement regarding yesterday's decision by the North American Free Trade Agreement (NAFTA) Chapter 19 panel on U.S. countervailing duties on Canadian softwood lumber:
"Canada welcomes the panel's decision that U.S. duties on Canadian softwood lumber are inconsistent with U.S. law.
"The Canadian softwood lumber industry is a critical and reliable partner to the United States, creating jobs and making valuable contributions to our deeply integrated North American supply chains.
"Although we are disappointed by certain aspects of yesterday's decision, it is still an important step toward the elimination of U.S. countervailing duties and supports Canada's long-standing position that U.S. duties on Canadian softwood lumber products are unfair and unwarranted.
"It is in the best interests of both Canada and the United States to find a durable, mutually acceptable resolution to this dispute, and Canada remains ready to work collaboratively toward that goal."
Quick facts
- Over the last 40 years, the U.S. lumber industry has frequently sought unwarranted U.S. government restrictions on Canadian softwood lumber imports through the application of U.S. countervailing and anti-dumping duty laws
- In November 2016, the U.S. softwood lumber industry requested the initiation of anti-dumping and countervailing investigations, which led to the imposition of duties on Canadian softwood lumber products beginning in early 2017
- Canada is actively defending its softwood lumber industry against these trade measures by challenging U.S. decisions imposing unfair duties on Canadian softwood lumber under NAFTA, the Canada-United States-Mexico Agreement, the WTO and the United States Court of International Trade