Max Baucus: “I rise today to discuss a much-needed clarification of current trade law. Misinterpretation of the current law hurts…”

“I rise today to discuss a much-needed clarification of current trade law. Misinterpretation of the current law hurts hundreds of American companies and thousands of American workers. It is a misinterpretation that results in the understatement both of the degree of foreign unfair trade and the amount of duties necessary to offset it. The legislation Senator Craig and I are proposing would clarify that, in an antidumping proceeding, countervailing duties paid by a foreign seller should be deducted from the U.S. price. This legislation would rectify the current understatement of unfair trade and ensure that the true expenses of selling in the United States are recognized in the calculation of duties. Now, I am here today because this issue is of particular importance to Montana's softwood lumber industry. For more than 20 years, I have stood beside our lumber industry as they have fought massive illegal subsidies by the Canadian government. All they are asking for is a level playing field. Unfortunately for everyone, this process has been stuck in an endless cycle of litigation. I hope we can end that, and get to a place where there is real market-based competition. But until we do, we must ensure that our fair trade laws are as strong as possible. We have countervailing duty laws that offset unfair foreign subsidies.”