The U.S. Department of Commerce (DOC) is preliminary set to increase antidumping (AD) and countervailing duties (CVD) on Canadian softwood lumber following AD and CVD administrative reviews. The increase could take place at the end of November and would double the current duties if implemented. The current average tariff for softwood lumber imports from Canada is about 9%.
While DOC invites parties to comment on the preliminary results, many members of Congress already believe that the current tariffs do not seem reasonable at a time when lumber prices have risen 300 percent in the past year due to increased demand during the COVID-19 pandemic. A total of 96 House members signed a letter on May 17th asking the U.S. Trade Representative (USTR) to negotiate an agreement with Canada to remove the tariffs. Earlier in May, the Senate also issued a letter to USTR requesting the end of countervailing duties.

On the other hand, the U.S. Lumber Coalition believes that the duties create American jobs due to lumber mill expansion. According to U.S. Lumber Coalition Co-Chair Jason Brochu, “More lumber being manufactured in America to meet domestic demand is a direct result of the trade enforcement, and we strongly urge the Administration to continue this enforcement.”