2011-01-19

U.S. legal challenge called threat to B.C. forest sector

The United States reignited the softwood lumber dispute Tuesday by launching a legal challenge that targets British Columbia's lumber industry.

The U.S. claims B.C. has been subsidizing lumber companies here by charging minimal stumpage rates for timber damaged by the mountain pine beetle.

The challenge was officially filed Tuesday at the London Court of International Arbitration, the body chosen by both Canada and the U.S. as the final appeal in any dispute over the 2006 Softwood Lumber Agreement.