Certain Softwood Lumber Products From Canada: Final Results and Rescission, in Part, of the Countervailing Duty Administrative Review; 2023
The U.S. Department of Commerce (Commerce) determines that producers and exporters of certain softwood lumber products (softwood lumber) from Canada received countervailable sub...
Enforcement and Compliance, International Trade Administration, Department of Commerce.
SUMMARY:
The U.S. Department of Commerce (Commerce) determines that producers and exporters of certain softwood lumber products (softwood lumber) from Canada received countervailable subsidies during the period of review (POR), January 1, 2023, through December 31, 2023. In addition, Commerce is rescinding this review, in part, with respect to one company.
DATES:
Applicable August 12, 2025.
FOR FURTHER INFORMATION CONTACT:
Samuel Brummitt, Kristen Johnson, and T.J. Worthington, AD/CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-7851, (202) 482-4793, and (202) 482-4567, respectively.
SUPPLEMENTARY INFORMATION:
Background
On April 9, 2025, Commerce published the preliminary results of this administrative review in the
Federal Register
and invited interested parties to comment.[1]
For a complete description of the events that occurred since the
Preliminary Results, see
the Issues and Decision Memorandum.[2]
A list of topics discussed in the Issues and Decision Memorandum is included as Appendix I to this notice. The Issues and Decision Memorandum is a public document and is on file electronically
( printed page 38756)
via Enforcement and Compliance's Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS). ACCESS is available to registered users at
https://access.trade.gov.
In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at
https://access.trade.gov/public/FRNoticesListLayout.aspx.
The product covered by this
Order
is certain softwood lumber products from Canada. For a complete description of the scope of the
Order, see
the Issues and Decision Memorandum.
Rescission of Administrative Review, in Part
Fontaine Inc. and its cross-owned companies [4]
(collectively, Fontaine) were listed as a non-selected company in the
Preliminary Results.[5]
On January 21, 2025, the U.S. Court of International Trade (CIT) sustained Commerce's remand redetermination calculating a
de minimis
subsidy rate for Fontaine in the expedited review and determination to exclude subject merchandise produced and exported by Fontaine from the
Order.[6]
On May 5, 2025, Commerce published a notice of amended final results of expedited review and exclusion from the
Order
excluding subject merchandise produced and exported by Fontaine from the
Order,
effective April 28, 2017.[7]
Because Fontaine is now excluded from the
Order,
we are rescinding the company's administrative review with respect to subject merchandise that was produced and exported by Fontaine. However, any entries of subject merchandise produced by any other entity and exported by Fontaine or produced by Fontaine and exported any other entity remain covered by this administrative review. For further information,
see
“Rescission of Administrative Review, in Part” in the Issues and Decision Memorandum.
Analysis of Comments Received
Commerce conducted this administrative review in accordance with section 751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each of the subsidy programs found to be countervailable, we find that there is a subsidy,
i.e.,
a government-provided financial contribution that gives rise to a benefit to the recipient, and that the subsidy is specific.[8]
For a description of the methodology underlying Commerce's conclusions, see the Issues and Decision Memorandum.
Changes Since the Preliminary Results
The subsidy programs under review, and the issues raised in case and rebuttal briefs submitted by the interested parties, are discussed in the Issues and Decision Memorandum. Based on our analysis of the comments received from the interested parties, we made changes to the subsidy rates calculated for the respondents. For a discussion of these changes,
see
the Issues and Decision Memorandum.
Rate for Non-Selected Companies Under Review
Because the rates calculated for the companies selected for individual review are above
de minimis
and not based entirely on facts available, we applied a subsidy rate based on a weighted average of the subsidy rates calculated for the reviewed companies using sales data submitted by those companies to calculate a rate for the companies not selected for review. This is consistent with the methodology that we would use in an investigation to establish the all-others rate, pursuant to section 705(c)(5)(A) of the Act.
For further information on the calculation of the non-selected rate,
see
the section titled “Final
Ad Valorem
Rate for Non-Selected Companies under Review” in the Issues and Decision Memorandum. For a list of the non-selected companies,
see
Appendix II to this notice.
Final Results of Review
In accordance with section 751(a)(1)(A) and of the Act and 19 CFR 351.221(b)(5), we determine that the following total net countervailable subsidy rates exist for the period January 1, 2023, through December 31, 2023:
Company
Subsidy rate
(percent
ad valorem)
Canfor Corporation and its cross-owned affiliates 9
12.12
West Fraser Mills Ltd. and its cross-owned affiliates 10
16.82
Non-Selected Companies 11
14.63
Disclosure
Commerce intends to disclose the calculations and analysis performed for these final results of review within five days after the date of publication of this notice in the
Federal Register
, in accordance with 19 CFR 351.224(b).
Assessment Rates
Pursuant to section 751(a)(2)(C) of the Act and 19 CFR 351.212(b)(2), Commerce has determined, and U.S. Customs and Border Protection (CBP) shall assess, countervailing duties on all appropriate entries of subject merchandise covered by this review.
Commerce intends to issue assessment instructions to CBP no earlier than 41 days after the date of publication of the final results of this review in the
Federal Register
, in accordance with 19 CFR 356.8(a).
Cash Deposit Requirements
In accordance with section 751(a)(2)(C) of the Act, Commerce intends to instruct CBP to collect cash deposits of estimated countervailing duties in the amounts shown for the companies subject to this review for shipments of subject merchandise entered, or withdrawn from warehouse, for consumption on or after the date of publication of the final results of this administrative review. For all non-reviewed companies, we will instruct CBP to continue to collect cash deposits of estimated countervailing duties at the most recent company-specific or all-
( printed page 38757)
others rate applicable to the company, as appropriate. These cash deposits, when imposed, shall remain in effect until further notice.
Administrative Protective Order (APO)
This notice also serves as a final reminder to parties subject to an APO of their responsibility concerning the return or destruction of proprietary information disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely written notification of the return or destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and the terms of an APO is a sanctionable violation.
Notification to Interested Parties
These final results are issued and published in accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.221(b)(5).
Dated: August 7, 2025.
/S/ Christopher Abbott
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance.
Appendix I
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Rescission of Administrative Review, in Part
IV. Scope of the
Order
V. Subsidies Valuation
VI. Analysis of Programs
VII. Final
Ad Valorem
Rate for Non-Selected Companies Under Review
VIII. Analysis of Comments
A. General Issues
Comment 1: Whether Commerce's Specificity Analysis Is Consistent with the Law
B. Alberta Stumpage Issues
Comment 2: Whether Alberta is the “Country in Question” and Commerce Must Use an In-Province Stumpage Benchmark
Comment 3: Whether Timber Damage Assessment Survey Prices Are an Appropriate Benchmark for Alberta Crown-Origin Stumpage
Comment 4: Whether the Alberta Stumpage Market Is Distorted
Comment 5: Whether to Revise the Conversion Factor Used in the Calculation of the Nova Scotia Benchmark
Comment 6: Whether Commerce Should Publicly Disclose the Anonymized Data that Comprise the 2021-2022 Private Market Survey
Comment 7: Whether Commerce Should Make Adjustments to Stumpage Rates Paid by the Respondents to Account for “Total Remuneration” in Alberta
Comment 8: Whether to Adjust the Nova Scotia Benchmark to Account for Beetle-Damaged and Fire-Damaged Timber Harvested in Alberta
Comment 9: Whether Private Standing Timber Prices in Nova Scotia Are Available in Alberta
Comment 10: Whether Nova Scotia's Forest Is Comparable to Alberta's Forest
Comment 11: Whether Spruce-Pine-Fir (SPF) Species in Nova Scotia Are Comparable to SPF Species in Alberta
Comment 12: Whether the Tree Size in Nova Scotia, as Measured by Diameter, Is Comparable to Tree Size in Alberta
Comment 13: Whether the Nova Scotia Benchmark Is Comparable or Should Be Adjusted to Account for Log Product Characteristics
Comment 14: Reliability of Nova Scotia Private-Origin Standing Timber Benchmark
Comment 15: Whether Nova Scotia Is Comparable to Alberta in Terms of Haulage Costs and Whether to Otherwise Adjust the Nova Scotia Benchmark to Account for Such Differences
C. British Columbia Stumpage Issues
Comment 16: Whether Commerce Should Continue to Use Washington Department of Revenue (WDOR) Data for a British Columbia (BC) Stumpage Benchmark
Comment 17: Whether to Adjust WDOR Data for Respondents' Costs and Beetle-Killed Timber
Comment 18: Whether Commerce Should Apply WDOR Stumpage Value Table Adjustments
Comment 19: Whether Commerce's Selection of a Log Volume Conversion Factor Was Appropriate
Comment 20: Whether to Account for BC's “Stand-as-a-Whole” Stumpage Pricing
Comment 21: Whether to Compare Government Transaction-Specific Prices to an Average Benchmark Price or Offset the Less Than Adequate Remuneration Benefit Using Negative Benefits
Comment 22: Whether to Change Commerce's Calculations Relating to Third Party Tenures
D. Nova Scotia Issues
Comment 23: Whether Commerce Should Index the Nova Scotia Benchmark
Comment 24: Whether the Nova Scotia Benchmark Adequately Accounts for Regional and County-Level Differences
E. Log Export Restraint Issues
Comment 25: Whether the Log Export Restraint (LER) in BC Results in a Financial Contribution
Comment 26: Whether the LER Has an Impact in British Columbia
F. Purchase of Goods for More Than Adequate Remuneration Issues
Comment 27: Whether Benefits Under the BC Hydro Electricity Purchase Agreements (EPA) Program Are Tied to Overall Production
Comment 28: Whether Commerce Properly Calculated the Benefit Conferred Under the BC Hydro EPA
G. Grant Program Issues
Federal
Comment 29: Whether the Forest Machine Connectivity Master Project Is
De Facto
Specific
Comment 30: Whether the Green Jobs Program Provides a Benefit
Alberta
Comment 31: Whether the Alberta Electric System Operator Load Shedding Program Is Countervailable
Comment 32: Whether the Technology Innovation and Emissions Reduction Program Is Countervailable
H. Tax and Other Revenue Forgone Program Issues
Federal
Comment 33: Whether the Accelerated Capital Cost Allowance (ACCA) for Class 53 Assets Program Is Specific
Comment 34: Whether Commerce Is Applying the Correct Benchmark for the ACCA for Class 53 Assets Program
Comment 35: Whether the Benefit Methodology for the ACCA Class 53 Assets Program Is Correct
Comment 36: Whether the Capital Cost Allowance for Class 1 Assets Program Is Countervailable
Comment 37: Whether the Federal and Provincial Research and Development Tax Credits Are Specific
Comment 38: Whether the Federal Logging Tax Credit and Provincial Logging Tax Credit Are Countervailable
Alberta
Comment 39: Whether Tax Savings Under Alberta's Schedule D Are Countervailable
British Columbia
Comment 40: Whether the BC Provincial Sales Tax Rebate on Select Machinery and Equipment Is Countervailable
Comment 41: Whether BC's Coloured Fuel Program Is Countervailable
I. Company-Specific Issues
Canfor Corporation
Comment 42: Whether Commerce Should Modify Canfor's Scientific Research and Experimental Development Calculations
Les Produits Forestiers D&G Ltee (D&G)
Comment 43: Whether Commerce Should Include D&G in the Review
105. Hampton Tree Farms, LLC, dba Hampton Lumber Sales Canada
106. Hornepayne Lumber LP
107. Hudson Mitchell & Sons Lumber Inc.
108. Independent Building Materials Distribution Inc.
109. Interfor Corporation
110. Interfor Sales & Marketing Ltd.
111. Ivor Forest Products Ltd.
112. J&G Log Works Ltd.
113. J.D. Irving, Limited; Irving Paper Limited; Miramichi Timber Holdings Limited; Rothesay Paper Holdings Ltd.; St. George Pulp & Paper Limited; The New Brunswick Railway Company
114. J.H. Huscroft Ltd.
115. Jan Woodlands (2001) Inc.
116. Jasco Forest Products Ltd.
117. Jazz Forest Products Ltd.
118. Jhajj Lumber Corporation
119. Kalesnikoff Lumber Co. Ltd.
120. Kan Wood, Ltd.
121. Kebois Ltee/Ltd
122. Kelfor Industries Ltd.
123. Kermode Forest Products Ltd.
124. Keystone Timber Ltd.
125. Kings Wood Products Inc.
126. Kirkland Lake Forest Products Inc.
127. La Crete Sawmills Ltd.
128. Lafontaine Lumber Inc.
129. Langevin Forest Products Inc.
130. Lecours Lumber Co. Limited
131. Leisure Lumber Ltd.
132. Les Bardeaux Lajoie Inc.
133. Les Bois d'oeuvre Beaudoin Gauthier Inc.
134. Les Bois Martek Lumber
135. Les Chantiers de Chibougamau Ltd./Ltee
136. Les Industries P.F. Inc.
137. Les Produits Forestiers Sitka Inc. (aka Sitka Forest Products Inc.)
138. Leslie Forest Products Ltd.
139. Lignum Forest Products LLP
140. Linwood Homes Ltd.
141. Lonestar Lumber Inc.
142. Lulumco Inc.
143. Magnum Forest Products, Ltd.
144. Maibec Inc.
145. Mainland Sawmill, a division of Terminal Forest Products Ltd.
2.
See
Memorandum, “Issues and Decision Memorandum for the Final Results of the Administative Review of the Countervailing Duty Order on Certain Softwood Lumber Products from Canada; 2023,” dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum).
3.
See Certain Softwood Lumber Products from Canada: Amended Final Affirmative Countervailing Duty Determination and Countervailing Duty Order,83 FR 347 (January 3, 2018) (
Order).
6.
See Committee Overseeing Action for Lumber International Trade Investigations or Negotiations, et al.
v.
United States, et al.,
Consol. Ct. No. 19-00122 (Slip Op. 25-8) (CIT 2025).
7.
See Certain Softwood Lumber Products from Canada: Notice of Amended Final Results of Countervailing Duty Expedited Review; Notice of Exclusion from Countervailing Duty Order,90 FR 18957 (May 5, 2025).
8.
See
sections 771(5)(B) and (D) of the Act regarding financial contribution; section 771(5)(E) of the Act regarding benefit; and section 771(5A) of the Act regarding specificity.
9.
Commerce finds the following companies to be cross-owned with Canfor Corporation: Canadian Forest Products, Ltd. and Canfor Wood Products Marketing, Ltd.
10.
Commerce finds the following companies to be cross-owned with West Fraser Mills Ltd.: Blue Ridge Lumber Inc., Manning Forest Products, Ltd., Spray Lake Sawmills (1980) Ltd., Sundre Forest Products Inc., West Fraser Alberta Holdings, Ltd., and West Fraser Timber Co., Ltd.
11.
For a list of these companies,
see
Appendix II.
12.
Entries of subject merchandise produced and exported by Fontaine are not subject to countervailing duties because the company is excluded from the
Order.
However, entries of subject merchandise produced by any other entity and exported by Fontaine or produced by Fontaine and exported by any other entity remain covered by this administrative review.
13.
In the
Initiation Notice,
Commerce inadvertently listed separately NorSask Forest Products Inc. and NorSask Forest Products Limited Partnership.
See Initiation Notice,
89 FR at 15838. In the final results of the 2022 administrative review, Commerce listed the companies together.
See Certain Softwood Lumber Products from Canada: Final Results of the Countervailing Duty Admisitrative Review; 2022,89 FR 67062, 67065 (August 19, 2024) (
Lumber V AR5 Final Results). To be consistent with the
Lumber V AR5 Final Results,
Commerce is listing the compaines together in this notice.
14.
In the
Initiation Notice,
Commerce listed the following companies: Olympic Industries, Inc.; Olympic Industries Inc-Reman Code; Olymic Industries ULC; Olymic Industries ULC Reman; and Olymic Industries ULC-Reman Code.
See Initiation Notice,
89 at 15838. However, in the final results of the 2022 administrative review, we noted that, on March 21, 2023, Olymic Industries, Inc. and Olymic Industries ULC (collectively, Olymic) notified Commerce that Olymic Industries Inc-Reman Code, Olymic Industries ULC-Reman, and Olymic Industries ULC-Reman Code are no longer used by Olymic to export softwood lumber to the United States. We, thus, listed the company names as “Olymic Industries, Inc.; Olymic Industries ULC.” in the notice.
See Lumber V AR5 Final Results,
89 FR at 67065. Therefore, the companies subject to this review are Olymic Industries, Inc. and Olymic Industries ULC.
Use this for formal legal and research references to the published document.
90 FR 38755
Web Citation
Suggested Web Citation
Use this when citing the archival web version of the document.
“Certain Softwood Lumber Products From Canada: Final Results and Rescission, in Part, of the Countervailing Duty Administrative Review; 2023,” thefederalregister.org (August 12, 2025), https://thefederalregister.org/documents/2025-15306/certain-softwood-lumber-products-from-canada-final-results-and-rescission-in-part-of-the-countervailing-duty-administrat.