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Prime Minister announces Canada and U.S. reach softwood deal

27 April 2006
Ottawa, Ontario

Prime Minister announces Canada and U.S. reach softwood deal   
  • NO QUOTAS AND TARIFFS AT CURRENT PRICES

  • $4 BILLION IN DUTIES TO BE RE-PAID TO CANADA

  • PROVINCIAL AND REGIONAL FLEXIBILITY

  • 7-YEAR ARRANGEMENT


    Prime Minister Stephen Harper announced today that Canada and the United States have reached a long-term agreement that resolves the longstanding softwood lumber dispute between the two countries.

    The United States has agreed to Canada’s key conditions including:

  • Stable and predictable access to the U.S. market:  there will be no quotas and no tariffs at current prices;

  • Repayment of duties:  at least four billion dollars will be paid out to Canadian producers;

  • Provincial flexibility:  there will be different compliance options in response to varying operating conditions across Canada; and

  • Certainty:  the deal runs for a minimum of seven years with options for renewal at a later date.

    “Canada’s bargaining position was strong; our conditions were clear; and this agreement delivers,” said the Prime Minister.  “It’s a good deal that resolves this long-standing dispute and allows us to move on.”

    The Prime Minister said today’s agreement was the product of intense engagement on the part of the Canada and noted the agreement is supported by British Columbia, Quebec and Ontario, Canada’s three main softwood-producing provinces.

    “We have a deal that defends Canada’s national interests and helps Canadian communities and workers,” said the Prime Minister.  “I commend Premiers Campbell, Charest and McGuinty for their support.”

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