Friday, May 05, 2006

Softwood Redux

How did I miss this.....Hard feelings up north over softwood trade pact
I particularly liked this quote nothing like a little self aggrandizing back patting

Aboard Air Force One, en route back to Washington from the Gulf Coast, President Bush spoke with Harper, according to White House press secretary Scott McClellan. The two leaders congratulated each other on bringing the long-running dispute to an end, he said.


But a day later and a billion bucks shy this happens US files softwood appeal despite deal

B.C. Premier Gordon Campbell has threatened to withdraw his crucial support for the tentative Canada-U.S. softwood lumber truce after learning that the U.S. government has decided to legally challenge a Canadian victory before a NAFTA trade dispute panel.There were also indications Friday that other potential deal-breakers -- including a clause that could scuttle B.C.'s new market-based timber pricing system -- were embedded in the terms Ottawa and Washington agreed to Thursday. It could take months to flesh out the final agreement

And in case you mistakenly thought the Harpocrite was doing this for the good of Canada, or the industry well think again, he was looking to line his governments pockets. Lose a billion to the US but recoup a billion in taxes.

Stephen Harper's Conservative government stands to reap a windfall approaching $1 billion in taxes on duties being refunded to Canadian lumber producers under a controversial deal struck to end the softwood trade war with the United States.ut many lumber companies are now facing hefty federal tax bills — in some cases, as high as 35 per cent — on the duties as soon as they're refunded by Washington.Ottawa reaps windfall on wood pact


And since this now is a matter of money for his coffers, well the Softwood lumber debate in the house now becomes a Confidence Vote. Surprize, Surprize.

Because of those tax measures, the final trade deal will eventually face a confidence vote in the House of Commons. That means if opposition parties, which have criticized the framework deal, vote against the measure, it could bring down Harper's minority government and trigger a federal election.Ottawa reaps windfall on wood pact


Note to Blogging Tories the government, is the government, is the government, a rose by any other name.


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