Thursday, January 4, 2018 1:00 pm

WASHINGTON, D.C. (From news reports) -- The U.S. has slapped final anti-dumping and countervailing duties on Canadian lumber, the latest step in a lengthy legal battle over softwood.

The Commerce Department announced slightly reduced initial rates Wednesday for producers West Fraser Timber Co. and Canfor Corp., with combined duties of 23.6 percent and 20.5 percent respectively. Duties for Resolute Forest Products Inc. and Tolko Marketing and Sales Ltd. were unchanged.

The move comes after preliminary rulings and determinations. Canada has already launched challenges of the duties and reiterated its objection after Wednesday's announcement. The Trudeau government argues the duties will leave the U.S. with a shortage of wood.

"U.S. duties on Canadian softwood lumber are unfair, unwarranted and troubling," Foreign Minister Chrystia Freeland said in a statement. "Canada has already begun legal challenges of these duties under Nafta and through the WTO, where Canadian litigation has proven successful in the past," she said, adding the government will "vigorously defend our industry and its workers against protectionist trade practices."

Commerce Secretary Wilbur Ross said the U.S. is confident the World Trade Organization, which may end up having to rule on the dispute, will eventually side with the U.S.

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