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

City launched Tech Strategy 2.0

Revelstoke received $100,000 in funding to build on its Technology Strategy project

MLA Clovechok and Kyllo respond on ‘plagiarized’ letters

One constituent wrote the letters are so similar they would get any university student expelled

Osoyoos woman who threatened mom and baby with butcher knife sentenced

Sharon Constance Forner pleaded guilty to one criminal charge and was sentenced

Sea-to-Sky Gondola in B.C. likely out of commission until 2020

Sea to Sky Gondola carries between 1,500 and 3,000 people every day during the summer season

It’s snow joke: Up to 30 cm of snow expected to fall in northeastern B.C.

Alaska Highway, Fort Nelson to be hit with August snowstorm, according to Environment Canada

Good morning bats! Salmon Arm office receives surprise visit by winged critters

Pair of bats found huddled together on wall in the sun outside downtown office

Retrieved body from Okanagan Lake identified as missing kayaker

Zygmunt Janiewicz had been missing since May and was recovered Aug. 10

Shuswap tow truck operator sees high number of collisions this summer

Drivers encouraged to “loosen up behind the wheel, smarten up and read the road”

Paddleboard festival coming soon to Kalamalka Lake

Wildfire smoke got in the way of last year’s event, but conditions look better this summer

North Okanagan-Shuswap Liberal candidate responds to Trudeau ethics report

Prime Minister’s immediate response to commissioner’s findings appreciated

Discussion on grief and loss between Stephen Colbert, Anderson Cooper goes viral

The exchange includes emotional question from Cooper, and outlook on grief as a child

Most Read