NLBMDA Member Alert:

Commerce Department Prepares Elevated Duties on Canadian Lumber, Recapping NLBMDA’s Recent Advocacy Efforts on Tariffs 

Later today, the Department of Commerce is scheduled to announce its intention to adjust the countervailing duty applied to Canadian softwood lumber from 6.74% to 14.38%. The adjustment follows a similar announcement by the Commerce Department in early March when it was announced the anti-dumping duty rate would also be increased. If adopted as currently proposed, the combined duty rate for Canadian softwood lumber would more than double to 34.45%. The Commerce Department may choose to modify its preliminary determination prior to the issuance of a final determination expected around Labor Day. 

While NLBMDA and its coalition partners were successful in advocating for the continuance of an exemption on additional tariffs for USMCA-compliant goods from Canada and Mexico, the new duties proposed by the Commerce Department will pass down increased costs to consumers and impact small business growth. Additional tariffs are not out of the question as the Commerce Department conducts its investigation into the potential national security impacts of importing timber and lumber. NLBMDA submitted formal comments to the Commerce Department arguing that additional tariffs levied against Canadian lumber would be duplicative in nature and counterproductive to the Administration’s broader policy objectives. 

As the leading voice of the lumber and building materials industry, NLBMDA has been proactive in helping our members navigate an evolving trade environment as new tariffs continue to be announced by the administration. NLBMDA has also been meeting with lawmakers, trade association partners, and other key stakeholders to urge the Administration to pause further measures that would increase the cost of lumber and building materials. 

On April 2nd, NLBMDA President & CEO Jonathan Paine and Government Affairs Coordinator Matthew Delaney met with Québec’s Minister for the Economy, Christopher Skeete to discuss the impacts increasing duty rates on softwood lumber and building materials would have on the industry. 

Minister Skeete on the meeting with NLBMDA: 

“Meeting the National Lumber and Building Material Dealers Association allowed us to discuss the ongoing litigation. Taxes on softwood lumber have increased costs for consumers and builders while significantly altering trade. Québec remains steadfast in its commitment to supplying high-quality, affordable, and environmentally sustainable wood products to our partners and allies.”

Jonathan Paine, NLBMDA President and CEO: 

“NLBMDA thanks Minster Skeete and the entire Québec delegation for the opportunity to discuss the status of softwood lumber negotiations and the tariff dispute between the United States and Canada. NLBMDA reaffirmed its position that a long-term agreement is needed to help stabilize the market and minimize price uncertainty in residential construction, which is contingent on our partnership with Canadian suppliers. NLBMDA is committed to working with stakeholders on both sides of border to advocate on behalf of the LBM industry.” 

In recent weeks NLBMDA has also met with the Canadian Embassy in Washington and continues to meet with lawmakers and other stakeholders in Washington D.C. to advocate on behalf of the LBM industry. 

For questions, please contact NLBMDA Government Affairs Coordinator, Matthew Delaney, mdelaney@dealer.org