WTO reversal: Extra levy on Canadian lumber OK'd By Naomi Koppel, AP
GENEVA - A World Trade Organization appeals panel gave a boost to the United States Monday, reversing most of an earlier ruling that said U.S. special duties on Canadian lumber were illegal.
The panel agreed with U.S. claims that lumber from state-owned lands in Canada can be unfairly subsidized if provincial governments sell the wood at below-market price. Therefore the United States has the right to impose extra duties to prevent cheap Canadian wood harming U.S. manufacturers, the panel said.
It stressed, however, that Washington would still have to carry out more extensive investigations before it could justify imposing duties on some imports of logs.