Monday, September 28, 2020

Canadian lumber industry wins, but loses

Canada’s softwood lumber industry won an appeal against United States tariffs, but has ended up losing the battle.


That’s because the U.S. has filed an appeal against the World Trade Organization’s ruling.


And because the U.S. has blocked the appointment of people to sit on panels that deal with appeals, the issue is sitting in limbo.


And meanwhile the U.S. continues to impose the illegal tariffs.


“These duties have caused unjustified harm to Canadian industry and U.S. consumers alike, and are impeding economic recovery on both sides of the border,” Canada’s trade minister Mary Ng said in a statement, adding Canada would keep challenging the duties through all available avenues.


The developments are a worrisome precedent for Canadian agriculture which has faced illegal pork and country-of-origin labeling issues with the United States.


Canada won those cases at the World Trade Organization, but not before multi-billion damage was inflicted on Canadian hog and cattle farmers and legal and consulting fees in the millions.


If the U.S. tries those illegal measures now, they could also end up in appeal limbo.