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ITC Institutes "Section 129" Consistency Proceeding Regarding its AD and CV "Threat of Injury" Determinations on Softwood Lumber from Canada

The International Trade Commission (ITC) is announcing that it has instituted a "Section 129" Consistency Proceeding in order to issue a determination that would render its actions in connection with the antidumping (AD) and countervailing (CV) investigations on softwood lumber from Canada "not inconsistent" with the findings of a World Trade Organization (WTO) dispute settlement panel.

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This Consistency Proceeding is being instituted at the request of the U.S. Trade Representative (USTR) pursuant to 19 USC 3538(a)(4), which also requires the USTR to consult with Congress before the resulting determination is implemented.

(AD and CV duty orders are currently in effect for softwood lumber from Canada. Preceding the implementation of these orders, among other things, the ITC made affirmative AD and CV "threat of injury" determinations (731-TA-928 and 701-TA-414). The government of Canada subsequently requested WTO review of these ITC's determinations.

On April 26, 2004, the WTO's Dispute Settlement Body (DSB) adopted the WTO dispute settlement panel's report that found the ITC's actions in connection with its AD and CV injury investigations on softwood lumber from Canada not in conformity with U.S. obligations under the WTO. Although Canada subsequently requested that the U.S. revoke its final threat of injury determinations and cease to impose AD and CV duties, the WTO panel declined to suggest ways for the U.S. to implement its report.)

According to the ITC, only those persons who were interested parties to the original investigation may participate in this Consistency proceeding.

- ITC's determination expected by November 24, 2004, according to sources

- schedule for this proceeding to be established and announced at a later date

ITC contact - Jim McClure (202) 205-3191

ITC notice (FR Pub 08/05/04) available at

http://a257.g.akamaitech.net/7/257/2422/06jun20041800/edocket.access.gpo.gov/2004/pdf/04-17865.pdf.