Talks aimed at ending the long-running softwood lumber dispute have been cancelled following the US commerce department’s decision to introduce only a small cut in its punitive duties on Canadian imports.
Canadian forestry executives shelved a planned meeting with their American counterparts after the department’s decision to reduce duties from 27.2% to 21.21%.
The department had originally intended to reduce the tax to 13.22% when it published its preliminary final calculations in June. But it then decided to use a new methodology, including a separate formula for BC lumber.
The 8.43% anti-dumping element of the tax was halved, while less than 2% was taken off the 18.79% countervailing portion.
Canadian timber executives accused the US lumber industry of lobbying the department to maintain higher duties in a bid to pressure Canada into negotiations.
