Timber: new decision by the united states against Canada

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QMI agency

Thursday, 7 December 2017 16:31

UPDATE
Thursday, 7 December 2017 17:51

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The american Commission of international trade (USITC) ruled Thursday that imports of timber in canadian are detrimental to their u.s. competitors.

Representatives of the u.s. agency voted to determine that the canadian lumber is beautiful and well subsidized and sold in the United States at a lesser price than its actual value on the market, one can read in a press release published Thursday.

This result confirms the legitimacy of the imposition of anti-dumping and countervailing punitive damages on imports of softwood lumber from Canada, according to the agency. The details of this decision will be known later.

Canada worried

The minister of foreign Affairs, asked by chrystia Freeland, was not slow to react.

“As we’ve discussed throughout this dispute, the imposition by the U.s. of anti-dumping and countervailing punitive damages on the softwood lumber in canada is unjustified and disturbing.

The enforcement of these rights is harmful for Canada and for the consumers of timber in the United States,” she said by way of press release.

“The canadian forest industry allows to keep good middle-class jobs across the country, including in rural and aboriginal communities, she said. The government of Canada will continue its efforts to vigorously defend our industry, workers and communities against protectionist trade measures.

For the Conseil de l’industrie forestière du Québec (CIFQ), it is a decision which is the abstraction of reality. “We are dismayed by this decision which is a complete abstraction of the reality, said CEO Denis Lebel. How can we speak of prejudice as the us airlines have never been profitable and that they would not be able to meet the demand of the american market ? This position will quickly become impossible to defend in the current context.”

Recall that Canada began the past month with an action to attempt to rescind the countervailing duties already imposed by the u.s. department of Commerce on the lumber. He has also filed a challenge before the world trade Organization about it.

At the beginning of the month of November, the Commerce department imposed countervailing duties means of almost 21% to producers of softwood lumber canadian. The duties imposed are less than the surcharge average preliminary of 27 % imposed last spring.