The Vancouver Sun reports in its Saturday edition that internal conflicts in the forest industry add to the challenge facing the Trudeau government as it tries to put together a unified approach to U.S. lumber negotiations. The Sun's Peter O'Neil writes that on Friday, Trade Minister Chrystia Freeland announced that American negotiators will be heading to Ottawa to seek ways to avoid legal action.
The American industry has for decades alleged that Canadian producers are unfairly subsidized by government, leading to four costly trade battles over 35 years.
The last battle, known as Softwood IV, was settled in 2006 when Ottawa cut a deal that limited Canada's access to the U.S. market through a combination of quotas and export taxes. That deal has expired and this fall the U.S. industry will be free to launch a new action unless another "managed trade" deal is reached.
One of the challenges Ms. Freeland faces is that she will have an almost impossible time pleasing the entire Canadian industry.
The B.C. government and West Coast producers are pushing for a negotiated settlement along the lines of the 2006 agreement.
Resolute Forest Products, however, wants to wage a legal fight to obtain true free trade.
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