Source: Bloomberg
Summary
The US will restore tariffs on Canadian softwood lumber, as a trade deal between the two countries falters. The tariff rates will return to the same levels seen before the Supreme Court ruled against the Trump administration’s “reciprocal” duties. The decision was made after the US and Canada failed to reach an agreement on a new trade deal. The tariffs will affect Canadian lumber exports to the US. The move is expected to impact the US housing market.
Our Reading
The trend returns with a new name.
Trade tensions between the US and Canada are nothing new. The US has long complained about Canadian lumber subsidies. The Trump administration’s “reciprocal” duties were struck down by the Supreme Court. Now, the tariffs are back, and the cycle continues. The US housing market will likely feel the impact. It’s just another chapter in the ongoing trade saga.
Author: Evan Null
