A World Trade Organisation (WTO) panel has ruled in favour of Canada in the long-running softwood lumber dispute.
The WTO said the US International Trade Commission did not follow international trade rules when it imposed hefty duties on Canadian softwood lumber imports. It rejected claims that US timber companies would suffer from a surge in imports following the expiry of a five-year quota agreement in 2001.
Canada said the ruling was a “major victory” for the country and called on the US to remove its punishing countervailing and anti-dumping duties.
However, the WTO’s decision is not legally enforceable, unlike those made by the North American Free Trade Agreement, which is expected to issue its own ruling on the issue at the end of April.
The US said it intended to continue “vigorously” enforcing its trade laws.
