The protracted softwood lumber dispute between the US and Canada could be nearing an end, after negotiators in Washington reportedly settled on terms for an agreement.
Canada’s provinces and timber industry now have to decide whether to accept the proposals, which include a 31.5% duty-free market share limit for Canadian softwood shipments to the US. After this, Canadian companies would pay a levy of C$200 per 1,000 board feet.
The plan also envisages the US$1.7bn duties already collected being evenly divided between both sides.
But a thorny issue remaining is Canada’s insistence that remanufacturers and maritime softwood producers be exempt from any deal. Both sectors argue they do not benefit from alleged subsidies the US believes the provinces give to timber mills.
