VANCOUVER, British Columbia, Oct. 6 (UPI) -- Canada hailed a ruling Thursday by a North American Free Trade Agreement panel against the United States in a lumber dispute.
A NAFTA panel Wednesday directed the U.S. Department of Commerce to review calculations used to determine that Ottawa subsidizes its timber industry. The department has been given until Oct. 28 to comply with the latest NAFTA ruling.
It was the second time a NAFTA body, most of whose members are U.S. citizens, has ruled against the United States in its softwood dispute with Canada.
Washington has collected about $5 billion in tariffs on Canadian lumber imports.
"Canada has now won two major victories with the NAFTA panels," John
Allan, president of the BC Lumber Trade Council, said Thursday.
"In August we won the NAFTA Extraordinary Challenge Committee decision on threat of injury and today we have won the NAFTA Panel decision on subsidy.
"The U.S. administration cannot continue to ignore the decisions of the NAFTA Panels. These panels established that Canadian softwood lumber producers are not subsidized and that their exports do not injure or threaten the U.S. industry."