Lumber duties still bite
The U.S. Commerce Department preliminarily cut Canadian softwood duties by about 10%, putting the combined duty rate on paper near 24.8–25%, but a separate Section 232 tariff remains in place so the reported effective rate stays around 34.83–35% until August 2026 ( ). The reporting says there is no immediate price relief for spring deck, fence, framing or shed projects because the higher effective tariff is still in force ( ).
The United States cut Canadian softwood lumber duties on paper, but most buyers still face an all-in tariff of about 35% today. (woodcentral.com.au) The U.S. Department of Commerce’s preliminary seventh annual review set the combined anti-dumping and countervailing duty rate at 24.83% for most Canadian softwood lumber imports, down from 35.16%. The review covers lumber imported during calendar year 2024. (uslumbercoalition.org) That lower rate is not the rate importers pay right now. A separate 10% Section 232 tariff on softwood timber and lumber, imposed effective October 14, 2025, keeps the reported effective burden near 34.83% until a final determination expected in late August 2026. (woodcentral.com.au; international.gc.ca) For spring 2026 projects, that means no immediate tariff relief on framing lumber for decks, fences, sheds, remodels or new-home construction. The National Association of Home Builders said in September 2025 that the extra 10% Section 232 tariff would raise construction and renovation costs in an already strained housing market. (lesprom.com; nahb.org) Softwood lumber is the wood used in house framing, repairs and remodeling, and the United States still depends heavily on Canada for supply. The National Association of Home Builders said the United States imports roughly one-third of the lumber it consumes, and Canada accounts for nearly 85% of those lumber imports. (nahb.org) This fight predates the United States-Mexico-Canada Agreement by decades. A Congressional Research Service report says the latest round began after the 2006 Softwood Lumber Agreement expired in October 2015, and the United States reimposed anti-dumping and countervailing duties in 2017. (congress.gov) The core dispute is not about whether lumber crosses the border, but how Canadian timber is priced before it does. The Congressional Research Service says U.S. officials argue Canadian producers benefit from provincial stumpage systems and other government support, while Canadian officials say their industry’s edge comes from efficiency, not subsidy. (congress.gov) The Section 232 tariff is a separate policy track from the anti-dumping and countervailing duty case. The White House said in its September 29, 2025 proclamation that imported timber, lumber and derivative wood products threatened national security by weakening domestic production capacity and supply chains. (whitehouse.gov) Canada is still challenging the U.S. trade actions. Global Affairs Canada says Ottawa launched Canada-United States-Mexico Agreement Chapter 10 challenges in August and September 2025 against the final results of the sixth administrative reviews of the anti-dumping and countervailing duty orders. (international.gc.ca) U.S. lumber producers and home builders are still reading the same numbers in opposite ways. The U.S. Lumber Coalition said the preliminary results confirm unfair trade, while home builders say the combined duties and tariffs keep a major housing input expensive until at least late August 2026. (uslumbercoalition.org; nahb.org)
