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End duties on Canadian softwood lumber demand Fedeli and Smith

Ontario Minister of Natural Resources and Forestry Graydon Smith and Minister of Economic Development, Job Creation and Trade Vic Fedeli released a media statement communicating their "disappointment" with the most recent duties imposed by
Softwood lumber CP

Ontario Minister of Natural Resources and Forestry Graydon Smith and Minister of Economic Development, Job Creation and Trade Vic Fedeli released a media statement communicating their "disappointment" with the most recent duties imposed by the U.S.

"The Ontario government is, once again, calling on the United States  Department of Commerce (DoC) to immediately remove all duties on Canadian softwood lumber exports," the statement reads. "Ontario's forest sector and workers are vital to our government's plan to build  Ontario. The industry generates nearly $21 billion in annual revenue  from the sale of manufactured goods and services and supports more than 142,000 direct and indirect jobs.

"I am deeply concerned about the impact of ongoing U.S tariffs on softwood lumber businesses across Ontario, including here in Parry Sound-Muskoka," said  Smith in an email. "These tariffs pose a threat to  the livelihoods of our local softwood lumber industry, jeopardizing  jobs, economic stability, and the well-being of our communities."

The U.S. has relied on Canadian lumber production to develop different structures, whether for residential or commercial purposes.  However, some years ago, DoC imposed depository duties affecting the lumber industry.

"The softwood lumber trade dispute between Canada and the United States is one of the longest continuing trade disputes in history, and also one of the largest, with several billion dollars at issue,"  Ministry of Natural Resources and Forestry spokesperson Marcela Mayo wrote in an email. "Canadian softwood lumber exporters have faced U.S. duty deposits since April 2017."

According to the ministry, softwood lumber producers and exporters have paid approximately $740 million in duty deposits between April 2017  and the end of June 2023.

The ministry said conditions are still not ideal for "fair competition."

"While duty rates for Ontario companies have decreased in the recent announcement, Ontario remains extremely disappointed that the United  States continues to impose unwarranted duties," Mayo wrote. "Ontario is  speaking out against harmful trade practices that prevent fair competition."

The ministry said Ontario will keep challenging these "unjustified duties" in coordination with industry partners, other provinces, and the federal government.

"Ultimately, a negotiated solution to this long-standing trade issue is in the best interests of both our countries," Mayo wrote. "A  longer-term negotiated agreement (10-15 years) can provide stability for Canadian lumber exporters and saves on legal costs."

Julian Orlando Chaves is a Local Journalism Initiative reporter who works out of the Huntsville Forester. The Local Journalism   Initiative is funded by the Government of Canada.