This week could be a very big week for the lumber industry. On October 12, the softwood lumber agreement and one year standstill period will expire. What does this mean? The US could start imposing higher import tariffs on all Canadian softwood. It is said that the US has a goal to cut Canadian lumber imports, which currently make up approximately 33% of our lumber supply, down to 22%.
What does this all mean? Well, for the Canadian workforce, it could potentially cause mills to shut down and workers to be laid off. For the US, there is potential for numbers to increase if we gain back such a large percentage of the market share.
Representatives from the US and Canada are to meet this week to discuss the future between the two countries imports and exports. And according to reps from Canada, if th US does not back down, and enforces new higher tariffs, they will take this to litigation.
Stay tuned......
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