Ottawa rejects softwood lumber industry request for duties payouts for fear of irritating U.S.

Ottawa has rejected a request from Canada’s softwood lumber industry for advance payouts on anticipated U.S. duty refunds, fearing that direct intervention would provoke Washington and further strain bilateral trade relations. The proposal surfaced as Canadian softwood producers continue to carry more than $10-billion in accumulated duties paid since 2017 — deposits held by the United States that collect interest and may eventually be refunded if the two countries reach a settlement in the long-standing softwood dispute. Industry representatives urged the federal government to issue payouts reflecting the present value of those expected refunds, providing companies ...