24Business

Trump orders a probe to allegedly reject wood in the US market


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Donald Trump ordered the probe to throw himself on the market of US wood, setting the stage to an industry to join the widen baskets of goods intended for the Global Washington trade war.

On Saturday, the President instructed the Ministry of Trade to investigate whether the import of wood and wood products undermines the domestic woodcut in a way that was the risk of US national security, a few days after ordered a similar overview of the copper industry.

If the investigation establishes evidence of disposal, the president may impose retribution of measures, including quotas and tariffs. Canada, by far the largest source of imports of American wood, would be the hardest hit.

“It is clear that something is happening here. We know that there are huge subsidies with these exporters who exploit our market,” said the White House official ahead of the order.

“But it’s on [Commerce] Secretary Howard Lutnick To investigate this and return to the president with the report. ”

While the Canadian import of wood is already subject to 14.5 percent tariffs, the announcement indicates the first formal step towards the industry withdrawal to Trump’s global trade war. Any new tariffs would be additionally existing Canadian levies.

It comes on the eve of moving 25 percent of tariffs, which will be introduced to Canada and Mexico next week, plus an additional 10 percent duties on Chinese imports while Trump increases pressure on US trade partners.

The president also sought to target certain industries claiming that imports of the domestic industry. He was supposed to impose 25 percent of steel and aluminum imports from March 12, after a similar probe to that sector during his first term.

On Tuesday he announced the investigation In the import of copper, causing fears that the metal will be the next sector dazed by tariffs.

Now they had a prolonged quarrel with Canada for imports of wood. He imported about 34 mn cubic meters of soft wood in 2023. The vast majority of this – over 28 million Cu FT – came from Canada. The next largest, Germany and Sweden, was delivered less than 3.5 mn Cu FT.

Forestry is a big job for Canada. In 2022. The sector contributed to C $ 33.4 billion in real GDP or about 1.2 percent. In the same year, the export of Canadian forest product was estimated at 45.6 billion C, with the majority intended for the US, according to government data.

The British Province of Columbia, where there is a high concentration of the Canadian Forestry Industry, as well as the company, has spent decades in courts that have fought against American levies and anti -duties.

In 2016, the US wood industry launched the latest circle of litigation, calling the trade department to act as “Canadian wood is unjustly subsidized and thrown into the US market”, according to a statement From the Government BC.

The dispute depends on the practice of the Canadian Forestry Industry to procure wood from crown land or parks operated by provinces, so that production and administration costs are lower than for US forestry companies that rely on private land.

Ever since he became president, Trump has repeatedly asked the issue and threatened the tariff to import wood.

Derek Nighobor, president of the Canadian Forest Products Association, said that any increase in wood on wood will harm employees of the forest sector on both sides of the border and on American families seeking accessible housing.

“We should be focused on strengthening our competitive advantages, the construction of more affordable apartments, together to deal with the exacerbation of the risk of fire and bringing more North American wood to the world,” he said in a statement last month.

But Andrew Miller, owner of Stimson Lumber Lumber, said: “The unjust trade of Canada comes with direct costs of US companies and workers.”



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