There are three new requirements that importers will be required to satisfy when importing softwood lumber and softwood lumber products into the United States.  Beginning on September 20, 2008, importers of all softwood lumber and softwood lumber products from all countries will need to report the export price, the estimated export charge, if any, and make an importer’s declaration. 

1)  The export price appears to be defined as the value that would be determined F.O.B. at the facility where the product underwent the last primary processing, for lumber that has only undergone primary possessing.  The export price for remanufactured or further processed lumber would be F.O.B. at the facility where the lumber last underwent its last stage of processing prior to export.  In the case for which an F.O.B. value cannot be determined, the export price should be the market price for the identical lumber or product sold in an arm’s-length transaction in the country of export at approximately the same time as the exported lumber or product.  Please note that the above is only an extract of the complex definition of export price.  Determining export prices should be reviewed by consultants or trade or Customs attorneys with special expertise in this area.    

2)  The export charge is defined as “any tax, charge, or other fee collected by the country from which softwood lumber or a softwood lumber product is exported pursuant to an international agreement entered into by that country and the U.S.”  Currently, Canada is the only country that has entered into an international agreement with the U.S.  Importers are required to verify the charges by applying the percentage determined by the International Trade Administration of the U.S. Department of Commerce.  The export charges will be updated monthly and published on the International Trade Administration’s website.   (http://trade.gov/index.asp)

3)  The importer’s declaration is a new addition for all softwood lumber importers.  Importers are now required to submit a declaration stating that to the best of their knowledge:

• The export price provided is in accordance with the definition provided in the new statutes.
• The export price provided is consistent with the export price that is stated on the export permit, if any, granted by the country of export.
• The exporter has paid, or committed to pay, all export charges due in accordance with the volume, export price, and export charge rate or rates, if any, as calculated under an international agreement entered into by the country of export and the United States and is consistent with the export charge determinations published by the Under Secretary for International Trade pursuant to the statutes.