OTTAWA—Canada is exploring how best to challenge the hefty import duties being slapped on Canadian softwood lumber exported to the United States, promising to support Canadian workers and companies in what is expected to be a lengthy—and difficult—battle.
Some people are going to lose their jobs, Natural Resources Minister Jim Carr warned April 25 after the U.S. Department of Commerce announced import duties of as much as 24 percent on Canadian softwood companies.
“If we look at the history of these trade actions there inevitably will be job losses,” Carr told a news conference in Ottawa.
“We will focus our efforts on doing whatever we can to ease the impact of those job losses. That is the reality of this countervail.”
It’s the fifth time since 1981 that Canada and the United States have sparred over softwood, and Canada has prevailed every time it has challenged the United States through the North American Free Trade Agreement, the World Trade Organization, or in the U.S. court system.
“We have won them all,” Carr said.
Canada’s best course of action, however, won’t become clear until after it receives the reasons for the U.S. decision. And any challenge likely won’t come before January at the earliest, since final U.S. determinations on softwood won’t be in place until November or December.
