USITC Votes to Continue Investigations on Softwood Lumber Products from Canada

January 6, 2017
News Release 17-003
Inv. No. 701-TA-566 and 731-TA-1342
Contact: Peg O'Laughlin, 202-205-1819
USITC Votes to Continue Investigations on Softwood Lumber Products from Canada

The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of softwood lumber products from Canada that are allegedly subsidized and sold in the United States at less than fair value.

Chairman Irving A. Williamson, Vice Chairman David S. Johanson, and Commissioners Meredith M. Broadbent, F. Scott Kieff, and Rhonda K. Schmidtlein voted in the affirmative.  Commissioner Dean A. Pinkert did not participate in these investigations.

As a result of the Commission’s affirmative determinations, the U.S. Department of Commerce will continue to conduct its antidumping and countervailing duty investigations on imports of these products from Canada, with its countervailing duty determination due on or about February 20, 2017, and its preliminary antidumping duty determination due on or about May 4, 2017.

The Commission’s public report Softwood Lumber Products from Canada, Inv. Nos. 701-TA-566 and 731-TA-1342 (Preliminary), USITC Publication 4663, January 2017) will contain the views of the Commission and information developed during the investigations.

The report will be available after February 7, 2017.  After that date, it may be accessed on the USITC website at:  http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.


UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436

FACTUAL HIGHLIGHTS

Softwood Lumber Products from Canada
Investigation Nos. 701-TA-566 and 731-TA-1342 (Preliminary)

Product Description: Softwood lumber, siding, flooring and certain other coniferous wood (“softwood lumber products”), including: 1. Coniferous wood, sawn, or chipped lengthwise, sliced or peeled, whether or not planed, whether or not sanded, or whether or not finger-jointed, of an actual thickness exceeding six millimeters; 2. Coniferous wood siding, flooring, and other coniferous wood (other than moldings and dowel rods), including strips and friezes for parquet flooring, that is continuously shaped (including, but not limited to, tongued, grooved, rebated, chamfered, V-jointed, beaded, molded, rounded) along any of its edges, ends, or faces, whether or not planed, whether or not sanded, or whether or not end-jointed; 3. Coniferous drilled and notched lumber and angle cut lumber; 4. Coniferous lumber stacked on edge and fastened together with nails, whether or not with plywood sheathing; 5. Components or parts of semi-finished or unassembled finished products made from subject merchandise that would otherwise meet the definition above.

Status of Proceedings:
1. Type of investigations:  Preliminary antidumping and countervailing duty.
2. Petitioners: Committee Overseeing Action for Lumber International Trade Investigations or Negotiations (COALITION), an ad hoc association of 13 U.S. companies and associations.
3. Preliminary investigations instituted by the USITC: November 25, 2016.
4. Commission’s conference: December 16, 2016.
5. USITC vote: January 6, 2017.
6. USITC determinations to the U.S. Department of Commerce: January 9, 2017.
7. USITC views to the U.S. Department of Commerce: January 17, 2017.

U.S. Industry:
1. Number of producers in 2015: Many small producers, but 110 firms are believed to have accounted for about 75 percent of production.
2. Location of producers’ plants:  Alabama; Arkansas; California; Florida; Georgia; Idaho; Louisiana; Maine; Massachusetts; Michigan; Mississippi; Montana; New Hampshire; North Carolina; Oklahoma; Oregon; South Carolina; Texas; Washington; Wisconsin. Smaller producers may be located in additional states.
3. Employment of production and related workers in 2015: 19,535.
4. Apparent U.S. consumption in 2015: $15.9 billion.
5. Ratio of the value of total U.S. imports to total U.S. consumption in 2015: 33.5 percent.

U.S. Imports:
1. From the subject country during 2015:  $4.7 billion.
2. From other countries during 2015:  $584 million.
3. Leading sources during 2015: Canada.

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