Weyerhaeuser Company this month joined a group of other major wood products producers, major national lumber retailers, and national homebuilder groups, in opposing the pending 29-percent tariff on Canadian lumber imported into the United States.

The four lumber manufacturing companies in the group each have significant production in Canada and the United States. The proposed tariff, to continue a lo ng-standing system of quotas and duties on Canadian softwood imports, is supported by most U.S.-based manufacturers, who fear loss of market share if Canadian lumber is allowed unrestricted access.

In a statement last month, the Southern Forest Products Association, representing primarily the Southern Pine industry, took issue with Canadian statements that Southern Pine could not compete with Canadian softwoods structurally.

A Weyerhaeuser company news release says "a group of US-based forest products com panies and home improvement retailers is so concerned that a 29-percent tax on Canadian lumber will do irreparable damage that it is launching a North American ad campaign with the theme "Friends and allies for more than 100 years. Why not now for Lumber? "

The national campaign was to launch on April 24, supported by Weyerhaeuser, The Home Depot, Lowe's Home Improvement Warehouse, Louisiana-Pacific (LP), Pope & Talbot, and Bowater.

Weyerhaeuser, based in Federal Way, a suburb of Seattle, Washington, is the largest lumber producer in North America, with extensive operations in the U.S. and Canada. In 1999, Weyerhaeuser acquired MacMillan-Bloedel, the largest Canadian forest products manufacturer. Earlier this year, Weyerhaeuser completed the purchase of Will amette Industries, Inc., and is still in process of integrating operations of the two multi-national forestry and forest products manufacture and sales organizations, including extensive holdings in North Louisiana and Southern Arkansas.

Pope & Talbot is a Portland, Oregon based company, with forest lands, lumber, paper, and wood products manufacturing in Oregon, South Dakota, and British Columbia, Canada.

Louisiana Pacific (LP) is also based in Portland, with forest lands, lumber, and wood products manufacturing in the U.S., including North Louisiana, Arkansas, and Canada. \par Bowater is headquartered in Greenville, South Carolina, and makes pulp and paper, kraft pulp, and lumber products in the U.S. and Canada.

Home Depot and Lowe's are the two leading national lumber and home building supplies retailers in the U.S.

The lumber manufacturing and sales companies are asking for a "negotiated long-term free trade solution to the Canadian lumber import dispute," which is due for review and final decision by the International Trade Commission on May 2.

On March 21, the U.S. Department of Commerce announced punitive trade duties on softwood imports from Canada into the U.S., invoking duties totaling 35 percent on Weyerhaeuser wood products imported from Canada. The DO C duty of 19.34% on softwood imports is across-the-board for all producers, with individual assessments for alleged dumping, of 15.83% against Weyerhaeuser; 14.60% against Abitibi; 12.04% against Tembec; 5.96% against Canfor; 2.26% against West Fraser; an d 9.67% against all other producers.

The duties are not to be collected until finally ruled on by the ITC this month.

In its statement, Weyerhaeuser says it believes that the DOC tariff decision is "based on deeply flawed trade law and factual errors; discr iminates against western red cedar, a high-value appearance product that should not have been a part of the petition targeting structural, commodity grade lumber products; and ignores concerns raised repeatedly by U.S. homebuilders, retailers, consumers, and Canadian communities who will bear the brunt of such punitive measures."

Weyerhaeuser says it supports negotiations "aimed at reaching a long-term agreement that would bring stability and certainty to the marketplace. The last thing the North American l umber market needs is more price volatility which in turn leads to the growth of alternative non-wood products and increased imports of lumber from other parts of the world."

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