It’s here-we-go-again time in Canada-US trade relations on softwood lumber. And the Canadian government this month has filed legal challenges to the decision by the Department of Commerce to increase the duty it charges on softwood lumber imports from Canada to 14.54% from 8.05%. …The decision has coincided with depressed market conditions… which have fueled mill curtailments and permanent closures across Canada as well as the United States. Adding to the negative landscape has been the impact of the most destructive wildfires in Canadian forest history in 2023. …Canada is the top global exporter of softwood lumber – valued at C$13.7 billion in 2022, with the US market alone accounting for about two-thirds of this total. …Although some analysts see the fundamentals underlying softwood lumber’s end-use markets remaining strong, the trends of shipments in the past few years have reflected an industry under severe stress. 

Related coverage by George Lauriat in AJOT:  Forest products trade trends