United States — Provisional Anti-Dumping Measure on Imports of Certain Softwood Lumber from Canada

Consultations

Complaint by Canada.

On 6 March 2002, Canada requested consultations under Article 4.8 of the DSU (urgency procedure) with the United States regarding an anti-dumping measure applied by the US to imports of softwood lumber from Canada.

Specifically, Canada expressed concern about three aspects of the US anti-dumping measure. Canada considered that:

• the initiation of the investigation was, therefore, inconsistent with Articles 5.2 and 5.3 of the AD Agreement and, therefore, the application of provisional measures was inconsistent with Article 7.1 of the AD Agreement;
• the preliminary dumping determination was inconsistent with Articles 2.1 and 2.2 of the AD Agreement; and
• the “zeroing” methodology applied by the US in the preliminary investigation was inconsistent with Article 2.4.2 of the AD Agreement. 

The US, although accepting the request for consultations, however did not accept that this was a case of urgency for the purpose of Article 4.8 of the DSU.

Mutually agreed solution

On 12 October 2006, the United States and Canada informed the DSB that they had reached a mutually agreed solution under Article 3.6 of the DSU in the disputes WT/DS236, WT/DS247, WT/DS257, WT/DS264, WT/DS277 and WT/DS311. This solution was in the form of a comprehensive agreement (Softwood Lumber Agreement) between the United States and Canada, dated 12 September 2006. On 23 February 2007, the United States and Canada informed the DSB that on 12 October 2006 they had concluded a further Agreement, which amended the original Agreement to facilitate its entry into force.