Dollar looms as stumbling block in Canada-U.S. softwood negotiations

By Gordon Hamilton

Business in Vancouver

The Canadian dollar’s nosedive has disrupted North American lumber markets to the point that Canada is expected to face currency-induced pressure to make concessions in the next softwood lumber agreement with the United States.  …“I think the Canadian industry recognizes that this won’t be a straight rollover or renewal of the existing agreement in its current form,” Thomson said in an interview after the meeting. “…The most recent Statistics Canada data shows that as of November 30, B.C. lumber shipments to the U.S. have increased by 7% year-over-year. …A 7% increase in exports is modest and in line with the gradual recovery of the U.S. housing market, said David Elstone, executive director of the Truck Loggers Association. He said B.C. has diversified its markets and is continuing to ship large volumes to China despite a weaker market there.

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