Ottawa declines softwood lumber industry's request for duty payouts to avoid angering the U.S

Ottawa has rejected a request from Canadian softwood producers for payouts on U.S. duties, fearing it would anger the United States. Producers have paid over $10 billion in U.S. duties since 2017. The government fears direct intervention could be seen as a subsidy, escalating trade tensions. The industry proposed receiving the present value of anticipated duty refunds in exchange for liquidity, but Ottawa declined due to potential U.S. objections.