US Raises Anti-Dumping Duties on Canadian Softwood to 20.56 Percent

 The new anti-dumping duty on Canadian softwood lumber is higher than the preliminary rate of 20.07 percent announced in March, up from the previous rate of 7.66

The U.S. government on Friday imposed 20.56 percent anti-dumping duties on softwood lumber imports from Canada following an administrative review to determine whether the goods were being sold below fair market value.

The U.S. Commerce Department said that its administrative review found that Canadian softwood lumber was dumped in the United States at margins between 9.65 percent to 35.53 percent in 2023.

The new anti-dumping duty on Canadian softwood lumber is higher than the preliminary rate of 20.07 percent announced in March, up from the previous rate of 7.66 percent.

The department stated that U.S. Customs and Border Protection will begin collecting duties at the new rates, adding that it will announce the final decision on its review of the countervailing duty order on Aug. 8.

Ravi Parmar, minister of forests of British Columbia, said the duties are “hurting people on both sides of the border.”

“It is no secret, the sector—one that employs tens of thousands of workers in our province—has faced years of uncertainty, driven by ongoing trade disputes, global market pressures, and the compounding effects of climate change. Now, we face further challenges, with rising unfair and unjust duties imposed by the United States,” he stated on Friday.

Parmar said he would convene the Softwood Lumber Advisory Council to discuss the government’s response to the U.S. duty hikes, adding that he had appointed a strategic adviser on softwood lumber to help coordinate federal and cross-provincial efforts.

The B.C. Council of Forest Industries also condemned the U.S. anti-dumping duty hikes on softwood lumber imports and urged the Canadian government to find a resolution.

“These unjustified and punitive trade actions continue to harm workers, families, and communities across British Columbia and Canada—and have gone unresolved for far too long,” the council said in a statement.

The council suggested “activating timber sales, fast-tracking permits, and cutting through regulatory gridlock” to support the development of a sustainable forest sector in Canada.

The U.S. Lumber Coalition expressed support for the government’s decision, saying it will help protect U.S. producers and workers.

“Canada’s outrageous unfair trading directly hit U.S. companies, workers, and communities during already challenging times,” Andrew Miller, the coalition’s chairman, said in a press release.

“The United States will no longer absorb Canada’s massive excess capacity in lumber at the expense of U.S. mills and communities,” Miller added.

Canadian Prime Minister Mark Carney said on July 15 that a trade deal with the United States could include quotas on softwood lumber exports and “some element of managed trade.”

Canada and the United States have had no agreement on softwood lumber since 2015, and Carney said he agrees with the notion that resolving the dispute could be part of a larger trade deal.

President Donald Trump announced a 35 percent tariff on Canadian imports on July 10, which is set to take effect on Aug. 1. Trump has said that he does not expect to reach a trade deal with Canada.

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