Softwood Lumber Agreement

The Softwood Lumber Agreement is a trade deal between the United States and Canada that regulates the export and import of softwood lumber—mainly timber used in construction. It aims to resolve disputes over whether Canadian lumber is subsidized unfairly, which can lower prices and hurt U.S. wood producers. The agreement sets rules, tariffs, and fees to create a fair market while allowing Canadian exporters access to U.S. markets. By establishing clear standards, it helps prevent trade conflicts and supports both countries’ forestry industries.