With lumber prices rising steadily since June 2019, a preliminary decision by the U.S. Department of Commerce to reduce duties by August on shipments of Canadian lumber into the United States is good news for home builders and home buyers.
The decision comes on the heels of the September NAFTA panel decision that found the U.S. International Trade Commission did not meet its obligations under U.S. law when it calculated countervailing and anti-dumping duties on Canadian softwood lumber. NAHB participated as an amicus in support of Canada’s challenge of the duties.
Currently, duties average more than 20% on Canadian lumber shipments into the United States. After conducting an administrative review, the Department of Commerce has issued a proposal in the Federal Register that could lower the countervailing and anti-dumping duties to just over 8%. A final determination will be made in August.