{"id":88039,"date":"2024-09-04T08:24:31","date_gmt":"2024-09-04T08:24:31","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/us-tariff-hike-on-softwood-lumber-drawing-criticism-on-both-sides-of-the-border\/"},"modified":"2025-09-19T09:02:42","modified_gmt":"2025-09-19T09:02:42","slug":"us-tariff-hike-on-softwood-lumber-drawing-criticism-on-both-sides-of-the-border","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/us-tariff-hike-on-softwood-lumber-drawing-criticism-on-both-sides-of-the-border\/","title":{"rendered":"US tariff hike on softwood lumber, drawing criticism on both sides of the border"},"content":{"rendered":"

In February 2024, officials for the U.S. Department of Commerce indicated they would raise tariffs this year on imports of Canadian softwood lumber products from 8.05% to about 14%.<\/span><\/p>\n

The department made good on that promise in recent weeks, raising tariffs to 14.54%. The move follows the department\u2019s fifth administrative review of its softwood lumber anti-dumping and countervailing duty orders, which it initiated in March 2023, announcing preliminary findings at the beginning of February 2024. On August 19, the agency issued the final results on\u00a0antidumping\u00a0and\u00a0countervailing\u00a0duties, averaging a combined total of 14.54%.<\/p>\n

The new rate will be applied retroactively to exports from Canada made in 2022 and will apply to new exports to the U.S. from companies that were subject to reviews.<\/p>\n

Mary Ng, Canada\u2019s Minister of Export Promotion, International Trade and Economic Development, referred to the increases as \u201cbaseless and unfair,\u201d suggesting that U.S. duties on softwood lumber \u201cunjustifiably harm consumers and producers on both sides of the border.\u201d According to Ng, the change will negatively impact U.S. consumers and businesses that need Canadian lumber, \u201cmaking housing even less affordable for Americans.\u201d Officials for the U.S.-based National Association of Home Builders (NAHB) echoed Ng\u2019s sentiment.<\/p>\n

While the move is part of a regularly scheduled review process the U.S. employs to ensure adequate relief to American companies and industries impacted by unfair trade practices, NAHB officials have actively fought against such measures, arguing they\u2019re detrimental to housing. Tariffs, the association argues, impact affordability\u2014a factor that continues to dog new home sales.<\/p>\n

According to NAHB officials, lumber tariffs \u201cact as a tax on American builders, home buyers and consumers,\u201d by adding to the cost of construction for single-family homes.<\/p>\n

The NAHB\/Wells Fargo Cost of Housing Index (CHI) found that in the second quarter of 2024, a family earning the nation\u2019s median income of $97,800 must spend 38% of its income to cover the mortgage payment associated with a median-priced new home.<\/p>\n

With housing affordability near a historic low, NAHB called on the Biden administration to suspend tariffs on Canadian lumber imports into the U.S. The administration should instead enter into negotiations with Canada on a new softwood lumber agreement, NAHB officials suggested, while moving to eliminate tariffs altogether.<\/p>\n

Meanwhile, there are indicators suggesting that the issue of affordability is easing. A Home Price Index released by the Federal Housing Finance Agency (FHFA) recorded a decline in home prices for June 2024. Since June 2023, the index has increased steadily in the year-over-year growth rate, but the growth rate began slowing in March 2024 and has continued to decelerate through June.<\/p>\n

\u201cWe continue to work with our allies in Congress to put pressure on the administration to take action,\u201d NAHB officials say.<\/p>\n

In Canada, Ng vowed to \u201cfight for the best interest of Canadians and continue to use all available avenues to vigorously\u00a0defend the\u00a0workers, businesses, and communities who rely on softwood lumber for their livelihoods,\u201d including litigation under NAFTA and the Canada-United States-Mexico Agreement, at the U.S. Court of International Trade and at the WTO.<\/p>\n

\u201cIt is in the best interests of both Canada and the United States to find a lasting resolution to this long-standing dispute,\u201d Ng said.<\/p>","protected":false},"excerpt":{"rendered":"

In February 2024, officials for the U.S. Department of Commerce indicated they would raise tariffs this year on imports of Canadian softwood lumber products from 8.05% to about 14%. 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