Sen. Orrin Hatch, R-Utah, says the 1988 free trade agreement with Canada has unfairly hurt at least four Utah firms in the past four months and needs change.
And Hatch is more in a position to see that is done, having recently joined the Senate Finance Committee's International Trade Panel.An example of problems, Hatch said, was that Canada in September breached its agreements with the United States to eliminate subsidies on lumber exports.
"Our Commerce Department has since imposed countervailing duties on Canadian soft lumber sales, but the impact on our lumber mill industry in Escalante (Garfield County) has been severe," Hatch said.
In August, the Utah-based Magnesium Corp. of America petitioned the International Trade Commission complaining about Canadian subsidies for magnesium exports to the United States. "The commission's initial ruling showed unfair practice," Hatch said.
In September, the Logan Manufacturing Co. won a Canadian defense ministry competition for the sale of a tracked snow machine. But Hatch said, "At the last min-ute, the Canadians decided they would buy only Canadian equipment."
Meanwhile last month, Salt Lake-based Twamco Trailer Manufacturing Co. was excluded from a U.S. Navy contract for a $68,000 specialized trailer, which went to a Canadian firm.
Hatch said, "I am appealing this decision. But the unfair nature of defense procurements is a much larger issue that affects many other companies.
"I have expressed my concerns to Carla Hills, the U.S. trade Representative on several occasions. The (proposed) North American Free Trade Agreements need to correct some fundamental oversights while assuring a more workable arrangement with Canada as well as Mexico, which will also be a party to the pact."