Hurricane Katrina dealt a blow to softwood lumber negotiations this week as talks between the United States and Canada were put on hold.
The lumber dispute centers around the U.S. ignoring a NAFTA ruling that Canadians say should lead to the return of $4.1 billion in punitive tariffs and the lifting of duties. Canada canceled the last round of negotiations in Ottawa.
The U.S. ambassador to Canada, David Wilkins, said that years of trade litigation from the World Trade Organization and NAFTA are leading nowhere.
Wilkins added that while the crisis has delayed negotiations, the softwood lumber issue will not be forgotten. The ambassador also thanked Canada for its quick aid response in Hurricane Katrina's aftermath.