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.

Just Posted

Royal Bay students tackle climate change solutions

Students welcomes the public, presents 95 projects dealing with climate change

Full buses leave Colwood woman fuming over commute from West Shore

BC Transit plans to add eight double-deckers in 2020, will rotate on 50 and 61 routes

Semi truck impounded after driver avoids weight scales in Saanich

Driver issued 90-day roadside driving prohibition

VIDEO: Boys help rescue Cariboo bear cub

The cub, weighing just 24lbs, has been taken to wildlife sanctuary in Northwest B.C. for the winter

Greater Victoria 2019 holiday craft fair roundup

Get a jump on your holiday shopping

‘Things haven’t changed enough:’ Ecole Polytechnique anniversary prompts reflection

Fourteen women were fatally shot by a gunman at the Montreal school on Dec. 6, 1989

Bear raids freezer, gorges on Island family’s Christmas baking

Hungry bruin virtually ignored meat and fish, focused, instead, on the sweets

Second warning on romaine lettuce from California region as another E. coli case reported

Two cases of E. coli have been reported in relation to the illness in the U.S.

Residents in B.C. city could face 133% tax hike in ‘worst case’ lawsuit outcome: report

An average home could see a tax increase of $2,164 in one year

POLL: Will you be donating to charities over the holiday season?

Many here in Victoria joined others around the world to take part… Continue reading

Greater Victoria Crime Stoppers wanted list for the week of Dec. 3

Greater Victoria Crime Stoppers is seeking the public’s help in locating the… Continue reading

Most Read