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Alberta softwood lumber producers vow to ‘vigorously challenge’ Trump’s tariffs

Alberta producers and the province are vowing to fight for forestry workers after the Trump administration announced it will impose a tariff of about 20 per cent on Canadian softwood lumber imports.

READ MORE: First it was Canada’s dairy, now lumber. What might Donald Trump target next? 

The Alberta Softwood Lumber Trade Council says the U.S. Commerce Department has imposed the tariffs based on unfounded accusations that Canadian lumber producers do no pay market rates for timber.

“We are disappointed that the United States has chosen this course of action. Their accusations are baseless and unfounded,” said Paul Whittaker, co-chair of the group.

WATCH: Knocked off balance by Trump, Canada prepares for ‘all eventualities’ on trade

“Alberta’s timber pricing practices have repeatedly been found to be fair and competitive by international tribunals. We plan to work closely with the Government of Canada and the Government of Alberta to vigorously challenge these tariffs and fight for Alberta jobs that depend on a healthy, sustainable forest sector.

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“All options, including litigation, are on the table. We expect to be fully vindicated.”

The U.S. president announced Thursday significant tariffs of up to 24 per cent on imports of Canadian softwood lumber, saying “Canada has treated us very unfairly.”

U.S. trade secretary Wilbur Ross confirmed the number while speaking with Reuters on Monday evening. He said that the duties would affect $5 billion worth of softwood lumber imports from Canada.

“It’s about 31.5 per cent of the total U.S. market, so it’s a pretty big deal in terms of the Canadian relationship,” he said.

The council said arguments that claim Alberta’s timber pricing system is unfair don’t take into account “many costs, including reforestation, land management, road building, environmental monitoring and site reclamation that Canadian producers must pay.”

READ MORE: Does Canada subsidize softwood lumber?

According to the group, forestry is a major contributor to 70 communities in Alberta and creates thousands of jobs.

The value of the industry to Alberta’s economy is about $5 billion, the council said.

Watch below: Alberta lumber industry concerned over lack of deal with U.S.

Click to play video: 'Alberta lumber industry concerned over lack of deal with U.S.'
Alberta lumber industry concerned over lack of deal with U.S.

On Tuesday, the provincial government pledged its support for the forestry industry.

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“We stand shoulder to shoulder with Alberta’s forest workers, their families and communities that rely on a strong forest industry,” Minister of Agriculture and Forestry Oneil Carlier said in a statement.

READ MORE: Here’s what Donald Trump could want from Canada on NAFTA

Watch below: U.S. President Donald Trump is once again taking action over what he suggests are Canada’s unfair trade practices. He announced new duties on Canadian softwood lumber on Tuesday. Tom Vernon looks at the potential impact on Alberta.

Click to play video: 'Alberta reacts to softwood lumber tariffs announced by Donald Trump'
Alberta reacts to softwood lumber tariffs announced by Donald Trump

“Our government is working closely with the federal government and our forest industry to defend Alberta jobs and fair market access. Together with affected provinces and Ottawa, we are developing plans to help support Albertans in addressing the possible impacts of a prolonged trade dispute.

“This is the fifth time since 1982 that the U.S. has investigated alleged Canadian lumber subsidies. In each case, international tribunals have ruled in Canada’s favour. We are confident we will prevail again.

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“We know that Alberta’s forest industry relies significantly on exports. That is why we are actively pursuing new markets outside the U.S. to ensure our products are sold around the world so we can continue diversifying our economy, creating jobs and making life better for Alberta’s forest communities.”

READ MORE: Alberta Premier Rachel Notley says Canada will have lots of allies if Donald Trump goes after energy trade 

“We believe that a new and lasting deal is needed and we want to ensure that any deal supports our forest industry and the workers who support their families in this important industry.”

With files from The Canadian Press and Kevin Nielsen, Global News

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