This paper examines the 2006 softwood lumber agreement between the federal governments of Canada and the United States, which creates a medium-term solution for a long-running trade dispute between the two countries.
Written in 2007; 2,460 words; 16 sources; MLA; $ 74.95
Paper Summary:
This paper explains that the origin of the dispute between the federal governments of Canada and the United States is the belief of U.S. lumber companies that lumber in some Canadian provinces, such as British Columbia, is subsidized by the lumber coming from Crown lands where its cost is cheaper than if it came from private lands. The author points out that, although Canada disputes this view, it accepted the Canada-US Softwood Lumber Agreement of 2006, which cancels any legal actions and duties with regard to the softwood lumber issue, as a way of resolving the trade problem and returning billions of dollars the U.S. government has claimed in duties over the past five years. The paper relates that the public interest group, the Forest Products Association of Canada (FPAC) did not advocate one policy to government but attempted to work with the government to create a "unified" approach, which best reflects the diverse interests of its member companies.
From the Paper:
"Canada had a number of objectives in entering into the free trade agreements with the United States. In general, these different objectives may be grouped under the one overriding priority of the Canadian government, which was to secure open and unthreatened long-term access to the large U.S. market for Canadian exporters. This was an important issue for the Canadian government as Canadian industries in the last decades of the 20th century were growing increasingly dependent upon the United States as their primary export market."
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