The U.S. Commerce Department has finalized tariffs on Canadian softwood lumber.
The imposed duties would add 20% or more to the cost of this material. The tariffs will go into effect at the end of November if U.S. trade officials confirm that improper subsidies and dumping practices from Canada have hurt the U.S. softwood lumber industry.
Both U.S. and Canadian officials have indicated that they would rather come to agreement on a deal without any tariffs. This disagreement over a softwood trade deal is part of a decades-long battle between the U.S. and Canada.
The U.S. contends that the Canadian government subsidizes its producers, enabling them to sell to U.S. consumers at below-market rates. The threat of tariffs has inflated U.S. lumber prices recently. About one-third of the U.S. softwood lumber market originates from Canada.
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