www.elpasobuilders.com Official Statement:
Statement from NAHB Chairman Granger MacDonald on Comments by Commerce Secretary Ross Regarding Canadian Lumber Tariffs
Granger MacDonald, chairman of the National Association of Home Builders (NAHB) and a home builder and developer from Kerrville, Texas, today responded to comments by Commerce Secretary Wilbur Ross regarding the imposition of tariffs on Canadian lumber imports. “NAHB respectfully disagrees with comments made by Commerce Secretary Ross that the tariffs on Canadian lumber imports into the U.S. will have little effect on the cost of housing. While Ross cannot cite specific consequences regarding this punitive tariff, we can. “If the 20 percent lumber duty remains in effect throughout 2017, NAHB estimates this will result in the loss of nearly $500 million in wages and salaries for U.S. workers, $350 million in taxes and other revenue for the governments in the U.S. and more than 8,200 full-time U.S. jobs. Lumber prices have already jumped 22 percent since the beginning of the year, largely in anticipation of new tariffs, adding nearly $3,600 to the price of a new single-family home. “Clearly, protectionist measures to prop up domestic lumber producers at the expense of millions of U.S. home buyers and lumber users is not the way to resolve the U.S.-Canada trade dispute or boost the U.S. economy. “As an industry that is on the front lines of this issue, NAHB would be happy to discuss this matter with the White House and seek solutions that will not harm housing affordability for millions of hard-working American families.”
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FIRST HOME SATURDAY
10 JUNE
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EL PASO
National, State & Local Building Industry News 2017: Issue 4
BUILDERS A S S O C I AT I O N O F
NAHB: Lumber Duties Will Harm Consumers ‘Short sighted’ action jeopardizes afffordability
The National Association of Home Builders (NAHB) today denounced the decision by the U.S. Department of Commerce to impose a 20 percent countervailing duty on Canadian lumber imports, saying it will harm American home buyers, consumers and businesses while failing to resolve the underlying trade dispute between the two nations. “NAHB is deeply disappointed in this short-sighted action by the U.S. Department of Commerce that will ultimately do nothing to resolve issues causing the U.S.Canadian lumber trade dispute but will negatively harm American consumers and housing affordability,” said NAHB Chairman Granger MacDonald, a home builder and developer from Kerrville, Texas. Thirty-three percent of the lumber used in the U.S. last year was imported. The bulk of the
imported lumber – more than 95 percent – came from Canada. “This means that imports are essential for the construction of affordable new homes and to make improvements on existing homes,” said MacDonald. The trade agreement that has governed Canadian imports of softwood lumber since 2006 effectively expired at the end of 2016. Uncertainty surrounding a new trade pact is the primary catalyst for the 22 percent spike in the Random Lengths Composite Price Index for lumber since the beginning of the year. These price hikes have negative repercussions for millions of Americans. It takes about 15,000 board feet to build a typical single-family home and the lumber price increase in the first quarter of this year has added almost $3,600 to the price of a new home.
Make plans now to participate in First Home Saturday a home buying fair to be held at Bassett Place on June 10.
First Home Saturday is a highly promoted event is an ideal opportunity to identify first time home buyers and offer your services as they begin their search for a new home.
NAHB believes the best way to resolve this trade impasse and avoid these negative economic repercussions is to: • Urge the U.S. and Canada to work cooperatively to achieve a long-term, stable solution in lumber trade that provides for a consistent and fairly priced supply of lumber. • Increase domestic production by seeking higher targets for timber sales from publiclyowned lands and opening up additional federal forest lands for logging in an environmentally sustainable manner. • Reduce U.S. lumber exports. “Taking these steps to meet our nation’s lumber needs is essential because tariffs needlessly increase the volatility of the lumber markets, resulting in higher prices for U.S. home buyers and other consumers and businesses who use lumber,”
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EL PASO BUILDERS A S S O C I AT I O N O F