Canada dumped softwood lumber in U.S. markets, says the Commerce Department
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WASHINGTON, D.C. -  U.S. Secretary of Commerce Wilbur Ross announced the affirmative preliminary determination in the antidumping duty (AD) investigation of softwood lumber from Canada.

The Commerce Department determined that exporters from Canada have sold softwood lumber the United States at 7.72 percent to 4.59 percent less than fair value based on factual evidence provided by the interested parties. 

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U.S. homebuilders slam Canadian lumber import anti-dumping duties

U.S. Secretary of Commerce Wilbur Ross announced the affirmative preliminary determination in the antidumping duty (AD) investigation of softwood lumber from Canada.


Commerce will instruct U.S. Customs and Border Protection (CBP) to collect cash deposits from importers of softwood lumber from Canada based on these preliminary rates.

These preliminary AD rates are in addition to the preliminary countervailing duty (CVD) rates that the Commerce Department assessed on softwood lumber on April 24, 2017.  When combined the applicable duty rates range from 30.88 percent to 17.41 percent.

“The United States is committed to free and fair trade, as seen today with the preliminary decision to exclude softwood lumber from the Canadian Atlantic Provinces in the ongoing antidumping and countervailing duty cases,” said Secretary Ross. “While I remain optimistic that we will be able to reach a negotiated solution on softwood lumber, until we do we will continue to vigorously apply the AD and CVD laws to stand up for American companies and their workers.”

Commerce earlier today released its preliminary determination that softwood lumber products produced in the provinces of Newfoundland and Labrador, Nova Scotia, and Prince Edward Island, also referred to as the Atlantic Provinces, should be excluded from the ongoing investigation.

In 2016, imports of softwood lumber from Canada were valued at an estimated $5.66 billion.

The petition was filed on behalf of the Committee Overseeing Action for Lumber International Trade Investigations or Negotiations (COALITION), which is an ad hoc association whose members are:

  • ]U.S. Lumber Coalition, Inc. (DC);
  • ]Collum’s Lumber Products, L.L.C. (SC);
  • ]Hankins, Inc. (MS);
  • ]Potlatch Corporation (WA);
  • ]Rex Lumber Company (FL);
  • Seneca Sawmill Company (OR);
  • Sierra Pacific Industries (CA);
  • Stimson Lumber Company (OR);
  • Swanson Group (OR);
  • Weyerhaeuser Company (WA);
  • Carpenters Industrial Council (OR);
  • Giustina Land and Timber Company (OR); and
  • Sullivan Forestry Consultants, Inc. (GA).

The Department of Commerce is currently scheduled to announce its final anti-dumping duties determination on September 7, 2017.

The U.S. International Trade Commissions (ITC) is conducting a parallel investigation to determine if the American producers have been harmed by the softwood lumber imports from Canada.  If the Commerce Department’s final determination is affirmative, and the ITC makes an affirmative final injury determination, the Commerce Department will issue an antidumping order.  If the ITC does not find that U.S. producers have been harmed, then the investigation will end, and no duties will be collected.

---The U.S. Department of Commerce’s Enforcement and Compliance unit within the International Trade Administration is responsible for vigorously enforcing U.S. trade laws and does so through an impartial, transparent process grounded in U.S. law that reflects international rules and is based solely on factual evidence.

Foreign companies that price their products in the U.S. market below the cost of production or below prices in their home markets are subject to antidumping duties.

Companies that receive unfair subsidies from their governments in the form of grants, loans, equity infusions, tax breaks and production inputs are subject to “countervailing duties”(CVD) aimed at directly countering those subsidies.

From January 20, 2017, through June 26, 2017, Commerce has initiated 49 antidumping and countervailing duty investigations.  Commerce currently maintains 401 antidumping and countervailing duty orders which provide relief to American companies and industries impacted by unfair trade.
 
 

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Bill Esler | ConfSenior Editor

Bill wrote for WoodworkingNetwork.com, FDMC and Closets & Organized Storage magazines. 

Bill's background includes more than 10 years in print manufacturing management, followed by more than 30 years in business reporting on industrial manufacturing in the forest products industries, including printing and packaging at American Printer (Features Editor) and Graphic Arts Monthly (Editor in Chief) magazines; and in secondary wood manufacturing for WoodworkingNetwork.com.

Bill was deeply involved with the launches of the Woodworking Network Leadership Forum, and the 40 Under 40 Awards programs. He currently reports on technology and business trends and develops conference programs.

In addition to his work as a journalist, Bill supports efforts to expand and improve educational opportunities in the manufacturing sectors, including 10 years on the Print & Graphics Scholarship Foundation; six years with the U.S. WoodLinks; and currently on the Woodwork Career Alliance Education Committee. He is also supports the Greater West Town Training Partnership Woodworking Program, which has trained more than 950 adults for industrial wood manufacturing careers. 

Bill volunteers for Foinse Research Station, a biological field station staddling the border of Ireland and Northern Ireland, one of more than 200 members of the Organization of Biological Field Stations.