U.S. Coalition for Fair Lumber Imports Troubled by Latest Canadian Government Subsidy Plan

    WASHINGTON, Jan. 13 /CNW/ -- The U.S. Coalition for Fair Lumber Imports
is deeply concerned that Canadian authorities will use the subsidy plan
announced on January 10 to aid the already heavily taxpayer- supported
Canadian forestry industry in violation of the U.S.-Canada Softwood Lumber
    The Coalition, which represents both small and large U.S. lumber
producers, is closely scrutinizing the latest proposal by the Canadian
government to earmark C$1 billion that is to be funneled through the
provincial governments to provide relief to the forestry sector during these
difficult market conditions.
    "We strongly suspect money ostensibly earmarked for workers will be used
to reduce liabilities of Canadian lumber companies, which would violate the
Softwood Lumber Agreement," said Steve Swanson, chairman of the Coalition and
president of Swanson Group, a family-run lumber operation based in Glendale,
    The agreement, which came into effect October 12, 2006, specifically
prohibits new government subsidies to the Canadian lumber industry.
    "Lumber industries on both sides of the border are going through
difficult circumstances, but now is not the time for the Canadian government
to step in with new subsidy schemes to give its industry unfair advantages in
the U.S. market," said Swanson.
    The Coalition plans to launch a detailed review of the new program
outline released late last week by the Canadian government and take
appropriate steps to respond.
    About the U.S. Coalition for Fair Lumber Imports
    The U.S. Coalition for Fair Lumber Imports is an alliance of large and
small lumber producers from around the country.  The Coalition is united in
opposition to Canada's unfair lumber-trade practices, including its gross
under-pricing of timber.  For more information, please visit the Coalition's
website at www.fairlumbercoalition.org.

For further information:

For further information: Zoltan van Heyningen of U.S. Coalition for Fair
 Lumber Imports, +1-202-862-3686, zoltan@4fairlumber.com Web Site:

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