Canada, U.S. Far Apart On Softwood Lumber

With a fall deadline approaching, Canada’s chief negotiator in the softwood lumber talks with the United States says the two sides remain far apart on several key issues.

Martin Moen told a parliamentary committee on Thursday that negotiations for a new softwood deal have continued at an intensive pace with engagement reaching the highest levels between the countries. But despite the efforts, Moen acknowledged that reaching a deal by the fall deadline will be a challenge.

Industry, he added, should prepare for the possibility that there will be no agreement and the risk Canada will be forced into litigation. Failure to reach a deal by Oct. 15 — the one-year anniversary of the expiry of the old, nine-year pact — would allow U.S. producers to petition Washington to impose new duties. Moen said without an agreement in place, Canadian officials are unsure what U.S. industry would actually do — and when.

“Although discussions have been constructive and have led to a better understanding of each party’s positions and concerns, Canada and the U.S. — I have to be honest — we do remain far apart on several key issues,” Moen said told a special meeting of the all-party, international trade committee. “There are considerable gaps that will need to be bridged in order for a new agreement to be concluded. Negotiations are continuing with the goal of reaching an agreement by the end of the standstill period.”

Prime Minister Justin Trudeau has spoken with U.S. President Barack Obama about the need to strike a new softwood lumber deal. The leaders have expressed optimism that a compromise could stave off fresh battles in the long-running softwood lumber war.

From DurhamRegion.com: durhamregion.com.