May 6, 2025
(Targeted News Service)
–
By
Jaymar B. Talang
TARGETED NEWS SERVICE (founded 2004) features non-partisan 'edited journalism' news briefs and information for news organizations, public policy groups and individuals; as well as 'gathered' public policy information, including news releases, reports, speeches. For more information contact
MYRON STRUCK
, editor, editor@targetednews.com,
Springfield, Virginia
; 703/304-1897; https://targetednews.com
WASHINGTON
,
May 5
--
The British Columbia Lumber Trade Council
(BCLTC), representing major Canadian lumber producers, has formally challenged the basis of a
U.S.
national security investigation into timber and lumber imports, arguing that Canadian softwood lumber poses no threat and is, in fact, necessary for the U.S. market.
In a detailed submission dated
April 1, 2025
, to the
U.S. Department of Commerce's
Bureau of Industry and Security
, the BCLTC responded to the ongoing Section 232 investigation (Docket No. BIS-2025-0011). The council contends that the probe misunderstands the core question under Section 232 of the Trade Expansion Act of 1962.
"BCLTC understands that the essential question in a Section 232 investigation is not whether a given
U.S.
industry's financial success is threatened by imports... but rather whether those imports threaten the very survival of that industry and its ability to produce the quantities needed to satisfy national security requirements," the submission states. "With respect to imports of softwood lumber, the majority of which originate in
Canada
, the answer is clearly no."
The BCLTC, represented by law firm
Steptoe LLP
, asserts that the
U.S.
domestic softwood lumber industry is far from threatened, describing it as "thriving." The submission highlights that the
U.S.
industry supplies the significant majority of domestic demand (citing a specific but redacted percentage from confidential data) and is capable of meeting any conceivable national security requirement for lumber, which the council argues is likely minimal compared to materials like steel or uranium.
Instead of posing a threat, the BCLTC argues Canadian lumber imports are vital to prevent supply shortages and price volatility in the
U.S.
, particularly for construction. "In the absence of softwood lumber imports, the domestic market would confront a significant supply/demand gap that would raise prices for
U.S.
consumers at a time when housing affordability is already a significant problem," the council wrote.
The submission emphasizes
Canada's
role as a long-standing, reliable ally and secure source of supply for
the United States
, noting that this relationship has been acknowledged in previous Section 232 investigations concerning other products. "
Canada
is and always has been a secure source of supply for
the United States
," the document states.
Furthermore, the BCLTC points to significant constraints on Canadian timber supply due to factors like wildfires, insect infestations (such as the mountain pine beetle), and policy changes in
British Columbia
, which accounts for roughly 40 percent of
Canada's
lumber exports to the
U.S.
These constraints have led to reduced Canadian exports and substantial investment by Canadian firms within the
U.S.
lumber sector, making them part of the domestic industry's recent success.
The council also argues that concerns about alleged dumping or unfair subsidies, mentioned in the Executive Order initiating the investigation, are already being addressed through existing
U.S.
antidumping and countervailing duty orders on Canadian softwood lumber. These duties currently impose a combined "all others" rate of 14.40 percent, with projections suggesting a significant increase soon.
Adding further Section 232 tariffs or quotas on top of these existing duties, the BCLTC warns, "would be counterproductive in relation to the goal of maintaining a secure and affordable supply of softwood lumber in the domestic market." The council urges the Department to find that no action against Canadian softwood lumber is necessary under Section 232, stressing the potential harm to
U.S.
consumers, home builders, and the broader economy if imports are further restricted.
* * *
Read full text of the public communication here: https://downloads.regulations.gov/BIS-2025-0011-0122/attachment_2.pdf
View Regulations.gov posting on
April 10, 2025
, and docket information here: https://www.regulations.gov/comment/BIS-2025-0011-0122
TARGETED NEWS SERVICE (founded 2004) features non-partisan 'edited journalism' news briefs and information for news organizations, public policy groups and individuals; as well as 'gathered' public policy information, including news releases, reports, speeches. For more information contact
MYRON STRUCK
, editor, editor@targetednews.com,
Springfield, Virginia
; 703/304-1897; https://targetednews.com
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