Statement by Canada on Softwood Lumber

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Statement by Canada on Softwood Lumber

OTTAWA, April 24, 2017 /CNW/ - The Honourable Jim Carr, Minister of Natural
Resources, and the Honourable Chrystia Freeland, Minister of Foreign Affairs,
today issued the following statement following the imposition by the U.S.
Department of Commerce of duties on imports of certain Canadian softwood
lumber products into the United States:
"Canada's forest industry sustains hundreds of thousands of good, middle-class
jobs in communities across our country. Many regions across Canada depend on
its continued success. The forest industry is one of the most innovative sectors
of our economy, developing new products and expanding its markets overseas
while ensuring our environment is protected for future generations.
"The Government of Canada disagrees strongly with the U.S. Department of
Commerce's decision to impose an unfair and punitive duty. The accusations are
baseless and unfounded.
"This decision will negatively affect workers on both sides of the border, and will
ultimately increase costs for American families who want to build or renovate
homes. The U.S. National Association of Home Builders has calculated that a
$1,000 increase in the cost of a new house would put home ownership beyond
the reach of more than 150,000 American families, and jeopardize thousands of
jobs in the American home construction industry.
"The Government of Canada will vigorously defend the interests of the Canadian
softwood lumber industry, including through litigation. In ruling after ruling since
1983, international tribunals have disproved the unfounded subsidy and injury
allegations from the U.S. industry. We have prevailed in the past and we will do
so again.
SUPPORT FOR WORKERS, COMMUNITIES, AND INDUSTRY
"The Government of Canada is taking immediate action to help affected
companies, workers, and local communities. Now that the U.S. decision to
impose preliminary countervailing duties has been confirmed, Minister Carr is re-
convening the Federal-Provincial Task Force on Softwood Lumber this week to
examine additional measures.
"The task force was formed to share information and analyze and assess the
needs of forest workers and communities. The upcoming meeting will build on
the progress we have made through this federal-provincial collaboration on the
softwood lumber file.
Immediate action includes:

Ensuring companies take full advantage of existing financing initiatives under the Business
Development Bank of Canada and Export Development Canada, which offer a range of financial
services to Canadian businesses on commercial terms. These initiatives are available to
exporters of all sizes and can assist companies looking to make capital investments, expand
market opportunities, and diversify with confidence into new markets.

Promoting the use of Canadian wood right here at home. Budget 2017 provided $40 million for
increasing wood use in Canada, allowing Canada to continue its world leadership in tall wood
building development, partnering with industry and the provinces to build on successes such as
the 18-storey University of British Columbia's Brock Commons residence building, the tallest
wood building in the world.

Actively working to help the forestry industry to access new markets. International Trade Minister
Franois-Philippe Champagne is currently with a delegation of Canadian lumber representatives
in China, promoting Canadian products. Minister Carr will travel to China in June with forestry
leaders, to build on this momentum. Minister Jean-Yves Duclos is currently in the United Kingdom
and Europe promoting Canadian wood.

Employment and Social Development Canada stands ready to provide essential services to
support workers who may be negatively affected. This support includes employment insurance
and career counselling, as well as retraining and skills development programs that are delivered
at the provincial level.

Indigenous workers will have access to services through the Aboriginal Skills Employment and
Training Strategy program. Currently, ESDC transfers nearly $3 billion annually to provinces
through Labour Market Transfer Agreements, as well as an additional $2.7 billion over six years
announced in Budget 2017.

SEEKING A LONG-TERM AGREEMENT

"Canada will continue to press their American counterparts to rescind this unfair
and unwarranted trade action. We are committed to working with the U.S.
Administration to achieve a durable solution.
"Canada has put forward a number of reasonable proposals to the current U.S.
administration that is responsive to views expressed by U.S. industry. These
proposals ensure security of supply at fair prices to U.S. consumers and U.S.
companies that rely on Canadian imports.
"We remain confident that a negotiated settlement is not only possible but in
the best interests of both countries."
Related products:
Government of Canada announces Task Force of Softwood Lumber