The U.S. Commerce Department has decided to hike anti-dumping duties on Canadian softwood to 20.56 per cent, with B.C. lumber organizations calling them unjustified, punitive and protectionist.
The hiked softwood lumber duties come amid the growing trade war between Canada and the U.S., and represent the latest blow to B.C.'s beleaguered forestry industry.
B.C. Forests Minister Ravi Parmar described the long-awaited rate hike as a “gut punch” for B.C.'s forestry industry which has seen thousands of workers laid off over the last few years.
So do something similar in structure to the Dairy industry.
Also, supply/demand curves are very much capitalism. When demand goes down, and supply is high, price point goes down to maximize profit. If you want to maintain the price point when demand drops off, you limit supply – not by burning things you’ve already got, but by pulling back on logging / cutting down old growth trees. So, still a win if they go that route, though not as beneficial to Canadians in terms of building stuff.