Mathieu Laberge

What if the latest U.S. tariffs ended up lowering housing construction costs in Canada? While this may sound counterintuitive, new CMHC analysis suggests that tariffs on Canadian lumber and transformed wood products could create an opportunity to build some homes more affordably. If more Canadian wood products stayed in Canada and were used more consistently across the country, construction costs for ground-oriented housing could fall by as much as 17% in some centres. …Such a change in building habits may lead to an increase of 3.5% in annual ground-oriented housing starts across the country, or close to 4,000 more starts annually. …Canada can’t control U.S. trade policy. But it can control how it responds. The current tariff situation presents an opportunity to address Canada’s housing supply challenges while strengthening the connection between the forestry and housing sectors. A stronger domestic market for Canadian wood products can support both increased homebuilding and a more resilient forestry industry.