OTTAWA, Canada — International trade minister Mary Ng announced this week that Canada is disputing U.S. duties on softwood lumber under the Canada-U.S.-Mexico Agreement.

Ng says Canada has taken steps to launch two legal challenges under the Agreement. Ng issued the following statement to announce that Canada will challenge the final results of the U.S. Department of Commerce’s fifth Canadian softwood lumber review: 

“Canada has taken the necessary steps to begin two legal challenges under the Canada-United States-Mexico Agreement (CUSMA) of the U.S. Department of Commerce’s decision to increase softwood lumber duties: one contesting U.S. anti-dumping duties and the other contesting U.S. countervailing duties.

“In its most recent annual reviews of softwood lumber duty rates, the United States further increased the unfair and unjust duties on Canadian softwood lumber, hurting Canadian industry and jobs and increasing housing costs in both countries.

“Canada has consistently contested U.S. decisions imposing duties on Canadian softwood lumber products under CUSMA and NAFTA and at the United States Court of International Trade." 

In August, the U.S. Department of Commerce nearly doubled duties on softwood lumber. Its fifth administrative review of the duties increased the rate to just over 14.5 percent from just over eight percent.

“Canada remains ready to seek a resolution that would provide the stability and predictability the sector needs to ensure its continued growth and success," says Ng at the end of her statement. 

The legal actions focus on contesting U.S. anti-dumping and countervailing duties, which have been applied to Canadian lumber exports for several years. Canada has consistently opposed these duties, arguing they are both unfair and damaging to the Canadian lumber industry.