US lumber firms could soon receive some of the estimated C$3.6bn in softwood lumber duties collected by the country’s customs department, if a bill launched by an influential senator is approved.
Senator Max Baucus’s Softwood Lumber Duties Liquidation Act is designed to pay out the money collected from Canadian timber companies since May 2002.
Canadian lumber industry sources have described the bill as “outrageous” and believe it is an attempt by the US industry to try and influence negotiations aimed at resolving the long-running dispute.
The bill is calling for the US commerce department to distribute the money to eligible companies within 15 days of its introduction.
The World Trade Organisation says any distribution of the money is a violation of international trade rules.
