On May 27, the World Trade Organization issued a non-binding ruling in Canada`s favour on U.S. anti-dumping duties. The decision was appealed to challenge a legally binding NAFTA body.  On August 13, the panel decided that, although the Canadian timber industry can be considered subsidized, the DoC illegally imposed tariffs on the basis of customary prices: there is no “global price” for wood, as stated by the DoC, and therefore it is not appropriate for DoC to calculate tariffs based on U.S. wood prices and not Canadian market prices.   It therefore ordered DoC to re-evaluate its method of calculating tariffs. Three days after the softwood agreements on wood expired, the U.S. wood industry applied for countervailing duties from the Department of Commerce.  In addition, for the first time, the U.S. industry has filed an anti-dumping action and argues that Canadian wood companies also discriminate unfairly in terms of price. On April 25, 2002, the U.S. company DoC announced that it had set subsidy and anti-dumping rates of 18.79% and 8.43% to reach a combined rate of 27.22%, although different rates were calculated for some companies. Up to February 26, 2003, 15,000 workers were laid off, mainly in British Columbia, because of U.S.
tariffs.  Ng joined Prime Minister Justin Trudeau and other government officials and said that U.S. tariffs have only served to increase construction costs on both sides of the border, further hurting a timber industry already affected by climate change and other issues such as pine awning infestation. Softwood is available at Tolko Industries in Heffley Creek, B.C. (Photo: THE CANADIAN PRESS/Jonathan Hayward) The softwood industry is vital to the Canadian economy and employs thousands of people. The forestry industry has helped create direct jobs for about 232,700 people.  Indirectly, 289,000 people were recruited to work in other areas that depend on Canada`s forests. These include engineering, transportation and construction. Such an advantage of this industry can be taken into account in the GDP of the country, which added $21.2 billion in 2014.  This represented about 1.3% of GDP by volume. Canada has the largest trade surplus relative to forest products ($21.7 billion in 2015).  The United States has been the largest market