The US and Canada… have feuded over “softwood” lumber since the 1980s. …Canada has long resisted changing its trade practices on lumber. But as the Trump administration has become more bellicose about its trade relationship with Canada, the country’s stance may be softening. On July 16, BC Premier Eby said Canadian officials are now open to a quota. …Any added fees from the US would likely further hamper an already struggling Canadian industry and benefit the US South. But the US would likely struggle to offset the lumber it gets from Canada in the short-term, driving up housing prices. …Though the US has some spare capacity to turn more timber into construction materials, a fully domestic supply chain would likely still require the construction of new sawmills and additional trained workers to operate the facilities. …Another factor for US suppliers and buyers is that US and Canadian lumber are not a perfect swap. [to access the full story a Bloomberg subscription may be required]