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“SOFTWOOD LUMBER--A CALL TO ACTION” mentioning the U.S. Dept. of Commerce was published in the Senate section on pages S13675 on Dec. 19, 2001.
The publication is reproduced in full below:
SOFTWOOD LUMBER--A CALL TO ACTION
Mr. BAUCUS. I rise today to focus attention on the ongoing softwood lumber dispute between the United States and Canada. I believe we have an excellent opportunity to permanently remove this blemish on our strong bilateral trade relationship.
In the past 3 months, the U.S. Department of Commerce found that the Canadian Government unfairly subsidizes this lumber industry and then dumps those products in the U.S. market, both of which are prohibited by U.S. law. These activities have caused unprecedented upsets in the U.S. market, resulting in record low prices, disruption in supply, mill closures, layoffs, people out of work.
Good jobs in my State of Montana and across the Nation have been put at risk by Canada's foul play. Now is the time to bring this matter to resolution once and for all. The U.S. negotiators have a meeting with their Canadian counterparts to work out what is a desirable solution.
As I have stated many times before, this solution must completely offset the subsidies and dumping. It must bring true competition to the marketplace and must take into consideration the cross-border and environmental issues with the objective of a truly level playing field.
With that said, the offers of our neighbors to the north have been, to date, short of the mark. If we are serious about resolving the issue, the Canadians need to put something on the table, something that reflects a true, open, competitive market for softwood lumber. Some in Canada would prefer to let international tribunals decide this matter. I think they misjudge both the legal strength of their position and the underlying merits of their case. At no other time in history have the facts been so squarely in favor of the U.S. industry--no other time in the many years this dispute has been ongoing. At no other time have we been so close to a detente. Let's not forget, many of the reforms are beneficial and cost effective to the Canadian softwood industry as well as to Canadian taxpayers.
That said, the clock is ticking. Unfair Canadian lumber imports are hurting our American producers. In a regrettable setback on December 15, the preliminary countervailing duties expired temporarily. It is my understanding that due to a customs reporting loophole, Canada was able to avoid paying payment earlier than the duties' temporary expiration. This is wrong. It emphasizes the need to close the gap from now until final determination.
The statute does not require that this case drag on until next spring. There is simply no reason for further foot dragging. The U.S. lumber industry cannot afford to suffer further injury. Neither can our remanufacturers, who are at the mercy of Canadian blackmail threats to cut off supply if we do not support Canada's position.
Simply put, if a decision cannot be reached in the next few weeks, the Commerce Department should accelerate their final determination.
That said, I would like to begin 2002 with this matter resolved. After two decades of fighting, it is time for a durable solution to the softwood dispute. I hope our administration and my Canadian friends will rise to the occasion.
I yield the floor.
The PRESIDING OFFICER. The Senator from Iowa.
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