NEWS RELEASES
WTO PANEL ESTABLISHED IN CANADA-U.S. SOFTWOOD LUMBER DISPUTE
January 8, 2003 (4:40 p.m. EST) No. 2
WTO PANEL ESTABLISHED
IN CANADA-U.S. SOFTWOOD LUMBER DISPUTE
The World Trade Organization (WTO) today established, at Canada's request, a panel to hear Canada's challenge of the
U.S. Department of Commerce's Final Dumping Determination relating to Canadian lumber imports. This is the fourth
panel established by the WTO relating to the current Canada-U.S. softwood lumber dispute. The panel's establishment
follows the U.S. decision to impose an average 8.43 percent dumping duty on all Canadian softwood lumber exports to the
United States.
"We are confident this panel will find that the U.S. dumping determination is flawed," said International Trade Minister
Pierre Pettigrew. "Canada has always favoured a long-term negotiated resolution to the Canada-U.S. softwood lumber
dispute, but only on a fair and reasonable basis. We will continue to pursue a negotiated solution along with our legal
challenges."
Canada is challenging the U.S. dumping determination based on its inconsistencies with the Anti-dumping Agreement, the
1994 General Agreement on Tariffs and Trade, and U.S. obligations under these agreements.
In addition to the 8.43 percent anti-dumping duty, the United States also imposed a 18.7 percent countervailing duty on
most Canadian softwood lumber. The Government of Canada, the provinces and industry are currently challenging U.S.
determinations of subsidy, dumping and injury before the WTO and under the North American Free Trade Agreement. On
November 1, 2002, the WTO found in Canada's favour that the U.S. preliminary subsidy determination was contrary to
WTO rules.
For more information regarding Canada's legal challenges against the U.S. in NAFTA and the WTO, please visit:
http://www.dfait-maeci.gc.ca/eicb/softwood/legal_action-en.asp
For more information regarding softwood lumber issues in general, please visit:
http://www.dfait-maeci.gc.ca/~eicb/softwood/lumber-e.htm
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For further information, media representatives may contact:
Sébastien Théberge
Director of Communications
Office of the Minister for International Trade
(613) 992-7332
Media Relations Office
Department of Foreign Affairs and International Trade
(613) 995-1874
http://www.dfait-maeci.gc.ca
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