Federal Minister of Natural Resources Jim Carr has announced that Ottawa is establishing a federal-provincial task force on softwood lumber; a move that was welcomed by the BC Lumber Trade Council (BCLTC).
“Coordination of efforts between the federal and provincial governments is critical as we work to understand the potential impacts of the softwood lumber trade dispute with the U.S. on our workers and communities,” says BCLTC president Susan Yurkovich. “We appreciate that the federal government has made softwood lumber a top priority.”
Steve Thomson, B.C.’s Minister of Forests, Lands, and Natural Resource Operations, also welcomes the announcement.
“Given the importance of forestry to B.C.’s economy, I’m pleased to be able to participate in this task force. Reaching a new softwood lumber agreement with the U.S. remains a top priority for the B.C. government, which is why Premier Christy Clark appointed David Emerson as British Columbia’s special trade envoy to the United States.
“Mr. Emerson will be working closely with the federal government on ensuring Americans are aware of how B.C. softwood products support the U.S. economy and how unwarranted duties impact their dream of home ownership.”
Canada’s ambassador to the U.S. says it’s too early to say how the Donald Trump administration will approach lumber trade, but he’s optimistic about the general approach to Canada so far.
U.S. Ambassador David MacNaughton visited the B.C. legislature late last month to brief Clark and Emerson. Speaking to reporters after the meeting, MacNaughton said there won’t be clarity until a new commerce secretary is appointed to the Trump cabinet, but he has had good cooperation from U.S. officials, including Trump’s chief of staff Reince Priebus, senior advisor Steve Bannon, and others.
“They see it as being a small, regional issue, and I think the most important thing we did was to impress on them how important it is to Canada,” MacNaughton said.
“It’s a national issue that affects hundreds of communities right across the country. I think they got the message.”
B.C. is the largest producer of softwood lumber in the country, and represents about 50 per cent of Canadian exports to the U.S. The U.S. International Trade Commission has made a preliminary finding of “injury” due to alleged subsidies to Canadian wood products, and the U.S. Department of Commerce is continuing its investigation.
Clark said the previous Barack Obama administration was preoccupied with the Trans Pacific Partnership trade deal, which Trump has since rejected. Repeated offers from Canadian lumber negotiators were ignored by the previous government.
“The change in the United States could signal we have an opportunity for a change in attitude about how important getting a softwood lumber agreement,” Clark said.
Emerson, whose experience with lumber trade goes back to his time as B.C. deputy finance minister in the 1980s and later as CEO of Canfor Corp., said the U.S. industry has changed since he was last involved in negotiations 10 years ago, and a “whole new assessment” of the political scene is needed.
With files from Tom Fletcher/Black Press.