Trump election casts shadow on softwood lumber trade

Donald Trump's crusade against NAFTA could embolden the U.S. Lumber Coalition to renew its battle against B.C. lumber exports

One of a series of articles on the future of the B.C. forest industry. You can follow the series on Facebook or Twitter by searching for the hashtag #BCForestFuture.

Negotiators for B.C.’s now-expired softwood lumber deal with the U.S. now know who they’re facing in an effort to find an acceptable quota for Canadian wood exports – anti-trade crusader Donald Trump.

Trump’s campaign speeches focused on the North American Free Trade Agreement (NAFTA), characterizing it as the worst trade deal the country has ever made and promising to renegotiate it. NAFTA allows a partner to withdraw with six months notice, but it does not cover Canadian lumber exports, more than half of which come from B.C.

B.C.’s government and forest industry continue to market wood products in Asia, with Forests Minister Steve Thomson leading his annual trade mission to Japan and China in late November. Asian lumber purchases peaked in 2014, briefly exceeding U.S. sales before the American housing market recovery continued and Chinese demand began to slow.

RELATED: Premier Christy Clark congratulates Trump on election win

The last Canada-U.S. agreement was signed in 2006 and its protection against trade actions expired in October. It had provisions for an export tax or a quota, and B.C. opted for the tax that kicked in depending on the selling price.

UBC forestry professor Harry Nelson says the U.S. Lumber Coalition is seeking a quota this time, to restrict supply and keep prices higher for American customers. And Canadian or B.C. government efforts to develop the industry, from technology to replanting, could also be targets of U.S. lumber interests.

“Investments in forest stewardship, competitiveness and innovation could all become targets of a future lawsuit by the U.S. Lumber Coalition, which has charged that the Canadian forestry companies have an unfair advantage over U.S. producers,” Nelson wrote in a commentary in The Globe and Mail on Nov. 9.

Prime Minister Justin Trudeau met with U.S. President Barack Obama in June, where they acknowledged there is more cross-border ownership of forest products companies and agreed in principle to a cap on Canadian exports to the U.S. Thomson says discussions are continuing, but there has been no announcement of progress since then.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Clinton and District Community Forest passes audit

According to a news release from Forest Practices Board on Feb. 19,… Continue reading

Research casts ‘last stop sign on Trans-Canada’ claim into doubt

Sign was removed from junction of Highways 1 and 97 in Cache Creek in February 1984

Savona athletes head to BC Winter Games

Akira Susanj and Alexander Teague competing in karate events

Ashcroft councillor wants to revisit Village’s burning bylaw

Raven Nyman’s regular report on Ashcroft council

Cache Creek unsuccessful in bid for Quartz Road bridge funding

Highlights from the most recent meeting of Cache Creek council

VIDEO: Behind the scenes of turning newspapers into digital archives

Kelowna Capital News donated materials dating from 1980 to 2000

Heart attacks strike B.C. husband and wife just over one year apart

Courtenay couple share personal stories to bring awareness to heart month

‘Nothing surprises us anymore:’ U.S. border officials find brain in package

U.S. Customs and Border Protection agents found the brain packed in a glass mason jar in a Canada Post shipment

B.C., Ottawa sign sweeping 30-year deal for northern caribou habitat

West Moberly, Saulteau co-manage new protection on two million acres

Eyes on police after Trudeau orders blockades torn down, injunctions enforced

The RCMP in B.C. have sent a letter to the traditional leaders of the Wet’suwet’en Nation

B.C. massage therapist suspended following allegations of sexual misconduct

While suspended, Leonard Krekic is not entitled to practice as an RMT in B.C.

Cheapest in B.C.: Penticton gas prices dip below $1 per litre

Two stores in Penticton have gas below a dollar.

Loans or gifts? Judge rules woman must pay B.C. man back $7K

B.C. judge rules that woman must pay back more than $7,000 in advanced funds to man

VIDEO: Outpouring of worldwide support for bullied Australian boy

Australian actor Hugh Jackman said ‘you are stronger than you know, mate’

Most Read