The USMCA trade deal governing commerce between the U.S., Canada, and Mexico, and setting the rules for how goods, services, and investments flow across North America is scheduled for review on July 1, after which the agreement will either be renewed for another 16 years, or extended year by year until 2036. While negotiations continue, the U.S. is focused on protecting American manufacturers, tightening rules on product origins including forestry, and reducing reliance on goods from outside North America. Canada formally requested a full 16-year renewal on June 2 and is consulting with provinces, territories, and industries, including forestry, ahead of the July 1 deadline.
On lumber specifically, the USMCA generally allows Canadian softwood lumber that complies with the agreement’s rules of origin to enter the United States duty-free; however, antidumping and countervailing duties of 35.16 percent and a 10 percent Section 232 tariff apply on Canadian softwood, creating an effective all-in rate above 45 percent for most Canadian producers. Canadian officials are reportedly discussing softwood lumber quotas with their American counterparts as a possible concession during the review, and some U.S. lumber producers have called for changes to the USMCA binational panel dispute-settlement process as a condition of extending the agreement.
ABMA is exploring advocacy options to convey trade and tariff policy positions within the USMCA review, including advocating with the Canadian government for U.S. policy positions in exchange for significant tariff relief. Commerce has signaled a potential reduction in antidumping and countervailing duties to 24.83 percent. Asking for Canadian government and industry reforms in exchange for additional relief aligns ABMA members’ interests with the administration’s stated negotiating objectives.
Capitol Hill Push: Housing Legislation Before the Recess
Concurrent with our trade work, ABMA is taking the housing fight directly to the Senate. On June 9 and 10, ABMA leadership will travel to Washington to meet with Senate housing staff, the office of Senator Tim Scott, and the office of Senator Elizabeth Warren in a bipartisan effort to advance housing legislation before the July 4 recess.
The meetings are backed by a coalition of 250 businesses that ABMA formally organized to declare their support for the legislation, a signal of broad, cross-sector demand for congressional action on housing supply, affordability, and regulatory relief. The coalition’s scale underscores that this is not a partisan issue but an economic imperative: builders, lenders, suppliers, and community development organizations alike recognize that the current trajectory is unsustainable without leg
Together, these efforts reflect ABMA’s focus on turning advocacy into action during critical policy windows. With key deadlines approaching in both Washington and across North America, ABMA is leveraging every opportunity to advance policies that support business growth, housing development, and economic opportunity. The association will continue pressing decision-makers for results that benefit its 250 member businesses and the communities they serve.