Canadian Officials Respond to Claims of Reluctance in Softwood Lumber Negotiations
Canadian Trade Minister Chrystia Freeland and Canadian Ambassador to the U.S. David MacNaughton responded to a recent letter from 20 senators to the White House that alleged Canada is “reluctant” to seriously consider a set structure and capped market share for exports of softwood lumber to the U.S. as part of any new Softwood Lumber Agreement (see 1610240034). Freeland and MacNaughton wrote to the Senators that Canada met with U.S. government officials seven times since June, and U.S. Lumber Coalition members twice, and has facilitated three meetings between the U.S. government and Canadian industry. The Canadian government also submitted three papers on approaches for effective management for an agreed-upon market share, the Canadian officials said. President Barack Obama’s and Prime Minister Justin Trudeau released a joint statement in June that described a set of negotiating objectives (see 1606300036).
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For the last five months, the U.S. Lumber Coalition has rigidly insisted on a measure that would drop Canada’s share of the U.S. lumber market by over 30 percent, which would create U.S. lumber shortages and spike consumer prices, the two officials said. “Most recently we made a formal, detailed proposal that would have had precisely the effect the two leaders stated they wanted to achieve,” Freeland and MacNaughton wrote. “In order to facilitate a durable negotiated situation, our proposal is designed to maintain Canadian exports at or below an agreed U.S. market share.” The letter concludes by stating the Canadian government stands ready to respond to any “serious proposal,” and that it will work “tirelessly” to complete an agreement. A yearlong moratorium on antidumping and countervailing duty cases dictated by the previous and now-expired SLA ended on Oct. 12.
Email ITTNews@warren-news.com for a copy of the letter.