May 2017 Macro Pulse -- Canadian Softwood Lumber Import Duties: “Tariff-pocalypse” or Tempest in a Teapot?

On April 25, the Trump administration fired the latest salvo in the long-running softwood lumber dispute between the United States and Canada, handing down its long-awaited decision related to countervailing duties (CVD) on softwood lumber imported from Canada. The tariffs are intended to make U.S. manufacturers more competitive by counteracting the “massive” subsidies Canada’s provincial and federal governments allegedly provide to their domestic manufacturers. Details are available elsewhere (e.g., the Federal Register), but in broad terms, CVDs ranging from 3 to 24% (overall average is roughly 20%) will be imposed on an estimated US$5 billion of Canadian softwood lumber.

Reaction was immediate and predictably varied…. 

Click here to read the rest of the May 2017 Macro Pulse recap.

The Macro Pulse blog is a commentary about recent economic developments affecting the forest products industry. The monthly Macro Pulse newsletter typically summarizes the previous 30 days of commentary available on this website.