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<strong>The</strong> International News Weekly CANADA<br />
December 08, 2017 | Toronto<br />
05<br />
Canada's softwood imports harm our industry: US agency<br />
Agencies<br />
TORONTO: Canada's<br />
softwood lumber industry<br />
suffered another blow<br />
Thursday when the U.S.<br />
International Trade Commission<br />
unanimously voted<br />
that American producers<br />
have been harmed by imports<br />
of subsidized <strong>Canadian</strong><br />
lumber.<br />
In a 4-0 vote, the agency<br />
sided with the U.S. lumber<br />
coalition, which complained<br />
that <strong>Canadian</strong><br />
lumber was subsidized and<br />
that it was dumped into the<br />
American market at artificially<br />
low prices.<br />
Most <strong>Canadian</strong> producers<br />
will now pay a combined<br />
countervailing and<br />
anti-dumping rate of 20.83<br />
per cent, down from 26.75<br />
per cent in the preliminary<br />
determinations issued earlier<br />
this year.<br />
<strong>Canadian</strong> producers<br />
have paid about $500 million<br />
in deposits for the duties<br />
thus far.<br />
<strong>The</strong> duties have added<br />
to the cost of building a<br />
home in the United States.<br />
<strong>Canadian</strong> unions and lumber<br />
companies fear the issue<br />
will eventually cause<br />
layoffs.<br />
Natural Resources<br />
Minister Jim Carr said in<br />
Ottawa the duties are unnecessary<br />
and are being<br />
challenged by the <strong>Canadian</strong><br />
Ontario crackdown on auto<br />
insurance fraud to lower rates<br />
Continued from page 01<br />
<strong>The</strong> plan would also establish a Serious Fraud Office,<br />
staffed in part by officers from the Ontario Provincial<br />
Police, to tackle abuse in the system.<br />
Finance Minister Charles Sousa, who announced<br />
the measures with Attorney General Yasir Naqvi, said<br />
the cost of auto insurance fraud is estimated to be as<br />
high as $1.6 billion a year. By cracking down on abuse,<br />
and holding people accountable, the government can<br />
achieve a "substantive rate reduction," he said.<br />
"Auto insurance fraud has become an industry,"<br />
Sousa said. "It's time to stop it. If you know someone who<br />
has been engaged in this crime let the Serious Fraud<br />
Office know. <strong>The</strong>y will pursue and investigate these<br />
fraudsters and bring them to justice." Sousa said the<br />
new measures will ensure accident victims receive appropriate<br />
care and are assessed independently by health<br />
professionals with no ties to an insurer. He could not immediately<br />
say what the plan will cost taxpayers or if it<br />
sets a specific rate reduction target.<br />
Sousa also urged insurance firms to take action<br />
against fraudsters.<br />
"If an insurance company, if the industry is telling<br />
us that there's abuse, there's fraud in the system, then<br />
stop settling," he said. "Stop settling fraud cases and let's<br />
start attacking the fraud and prosecuting the crime."<br />
A government-commissioned report earlier this<br />
year found that Ontario has the most expensive auto insurance<br />
premiums in Canada despite also having one of<br />
the lowest levels of accidents and fatalities.<strong>The</strong> average<br />
auto insurance premium in Ontario is $1,458, which is<br />
almost 55 per cent higher than the average of all other<br />
<strong>Canadian</strong> jurisdictions, the report found. If Ontario’s<br />
premiums were closer to the <strong>Canadian</strong> average of about<br />
$930, it would save Ontario drivers almost 40 per cent —<br />
or about $4 billion a year, it said. Tuesday's announcement<br />
comes as the Liberal government is still trying to<br />
fulfill a promise to reduce rates by 15 per cent on average<br />
from 2013 levels — rates have now decreased on average<br />
by about eight per cent since then. <strong>The</strong> government<br />
missed its self-imposed deadline of August 2015 to hit<br />
that target and Premier Kathleen Wynne has admitted<br />
that was a "stretch goal."<br />
Insurance company Aviva Canada said if the government<br />
implements its new measures, it will help lower<br />
rates. <strong>The</strong> company estimates fraud costs the insurance<br />
system $2 billion a year, nearly half a million more than<br />
the government estimates, said vice-president Gord Rasbach.<br />
"If you address the fraud piece you will make an<br />
impact on rates," he said. "Fraud, at the end of the day,<br />
someone has to pay for it. It really comes down to people<br />
who are milking the system (at the expense) of a lot more<br />
people who are paying and are honest."<br />
<strong>The</strong> opposition Progressive Conservatives said the<br />
Liberals are only acting on insurance rates now because<br />
an election is less than six months away.<br />
government.<br />
"<strong>The</strong>y're wrong. We<br />
have fought them before<br />
and we'll continue to defend<br />
Canada's interests," Carr<br />
said.<br />
He added the government<br />
is helping the industry<br />
by offering a support<br />
package, including loan<br />
guarantees at commercial<br />
rates, and working to expand<br />
export markets and<br />
transform the industry.<br />
He said the efforts<br />
should help to reassure the<br />
<strong>Canadian</strong> lumber industry<br />
despite the anxiety from<br />
duties. West Fraser Timber<br />
(TSX:WFT) pays the highest<br />
duties at 23.7 per cent.<br />
Canfor (TSX:CFP) is next at<br />
22.13, followed by Tolko at<br />
22.07, Resolute Forest Products<br />
(TSX:RFP) at 17.9 per<br />
cent and J.D. Irving at 9.92<br />
per cent. A Resolute Forest<br />
Products spokesman said<br />
the U.S. will now hold large<br />
industry deposits as "ransom"<br />
in hope of pushing the<br />
<strong>Canadian</strong> government to<br />
sign a "bad deal."<br />
"Sorry U.S., that's not<br />
going to happen. Canada is<br />
not going to be bullied into<br />
submission," Resolute's<br />
Seth Kursman said in an interview<br />
from Washington,<br />
D.C.<br />
He added that the financial<br />
health of American<br />
firms is clear evidence that<br />
no injury has been suffered.<br />
"<strong>The</strong> U.S. industry has<br />
been crowing about its prosperity<br />
for over a year. It is<br />
making more money than<br />
at any previous time in history."<br />
<strong>The</strong> B.C. Lumber Trade<br />
Council said the ruling,<br />
while not unexpected, is<br />
"completely without merit."<br />
Council president Susan<br />
Yurkovich said the process<br />
is biased in favour of<br />
the U.S. industry. "We are<br />
confident that this latest decision<br />
by the ITC will again<br />
be reversed," she said in a<br />
news release.