EDITORIAL

Here's the bell for round 2

IIHE ongoing fight over the flood of Canadian I softwood lumber into the United States has moved beyond the opening round probings into some serious sparring. The battle over imports has all the makings of a bruising barroom brawl.

There is much at stake for both sides. The U.S. market is a rich one for the Canadians; a loss or major decrease in its size would have a major impact on their industry. On this side of the border, the Canadian competition is blamed for mill closures, lowered prices and profits and diminishing markets for U.S. wood. Many here see disaster if the situation is allowed to continue unchanged. The imports now account for one-third of the total U.S. market - some say more - and it is a rare part of the country that has not felt the effect of the massive Canadian shipments.

Our domestic timber industry fought a losing

DAVID CUTLER publisher

battle in 1982-1983 as it sought countervailing duties on Canadian imports from the U.S. lnternational Trade Commission. It was lost on legal issues, most agree. The present contest will be political.

A committee of major U.S. manufacturers has assembled a war chest, hired lawyers and is seeking a regulatory approach such as duties, antidumping measures or similar restraints such as those achieved by the beleaguered steel and auto industries in recent years.

In addition to industry actions on both sides of the border, each government has become involved. Recent talks sponsored by the Canadian government in their capital at Ottawa brought together representatives of both sides as a fnst step to finding a solution agreeable to all.

It is a complex and emotiond fight. We do not look for either an qrsy or an early conclusion.

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