The National Association of Homebuilders (NAHB) has once again demonstrated its allegiance to Canadian industry and Canadian workers by strongly backing S. 3943, a bill that would cost American jobs, destabilize the domestic supply of softwood lumber, and bolster Canada’s ability to unload its massive excess lumber capacity into the US market. “The simple fact is that S. 3943, which the NAHB champions, would do nothing to actually address the important issue of housing affordability,” stated Steve Swanson, CEO of Swanson Group, and Chairman of the US Lumber Coalition. …Said Swanson, “If the NAHB and the National Lumber and Building Material Dealers Association want a stable supply of lumber that is not impacted by duties or tariffs, the answer is to enforce our trade laws fully and effectively to allow our domestic industry to continue on its growth path. Simply put, trade law enforcement and Section 232 tariffs will further increase domestic production.”
Conifex Timber announced that its wholly-owned subsidiary Conifex Mackenzie Forest Products has completed a $19 million secured term loan with the Business Development Bank of Canada (BDC) under the Softwood Lumber Guarantee Program. The loan has a maturity date of July 15, 2033. …The loan allows for interest-only payments until August 2028. A portion of the loan was used to repay a bridge advance from Conifex’s existing senior secured timber lender. The balance of the loan is available for working capital and general corporate purposes. Conifex also announced that it successfully restarted its sawmill in February. With the successful completion of the term loan, the Company is progressing toward normalized operations and currently anticipates sustaining two-shift operations in the second half of 2026, subject to fibre supply conditions.
The Musqueam First Nation’s agreement with Ottawa to advance the nation’s rights and title over an area that spans the western half of Greater Vancouver will force Canada to grapple with overlapping Indigenous claims, the boundaries of civic governance, and the principles of co-operative federalism. The deal acknowledges the existence of constitutionally protected Aboriginal title and creates a framework to implement Musqueam’s rights and title in their traditional territory. It is accompanied by two other agreements that create a framework for shared decision-making over fisheries, marine stewardship and land use. Just where that title will be recognized, and what rights will be affirmed, are yet to be negotiated. The Musqueam’s traditional territory has overlapping and shared territories with its First Nation neighbours. …Ottawa’s deal with Musqueam First Nation raises alarm about property rights in Vancouver area. …Cowichan decision leads to another claim on private lands in BC. [to access the full story a Globe & Mail subscription is required]
March 19, 2026 | 6:30-9 PM | UBC Robson Square Theatre — Experts from the Allard School of Law (Ljiljana Biuković), Vancouver School of Economics (Torsten Jaccard), Faculty of Forestry & Environmental Stewardship (Harry Nelson), and Political Science (Stewart Prest) will explore the evolving Canada–U.S. economic relationship and what it means for Canada’s future. As the 2026 joint review of the Canada–United States–Mexico Agreement (CUSMA) approaches, Canada faces significant shifts in its most important trading relationship. From tariffs on steel to ongoing tensions in British Columbia’s forestry sector, long-standing trade dynamics are being tested and the era of predictable trade and stable multilateral rules may be coming to an end. Policymakers, industry leaders, and people interested in understanding the structural changes shaping Canada’s economic future are encouraged to attend. Panelists will examine emerging geopolitical realities and their implications for Canada, highlighting BC forestry as a case study on how international trade pressures are affecting local industries, workers, and communities.

The head of B.C.’s Declaration Act Secretariat has left government on the eve of Premier David Eby’s move to change the landmark law to address court rulings that threaten private property rights. Jessica Wood, the province’s first Indigenous deputy minister, announced late last week she was departing the secretariat. “The Declaration Act was the first legislation in Canada to require consideration and alignment of provincial law with the United Nations Declaration on the Rights of Indigenous Peoples in consultation and cooperation with Indigenous Peoples,” Wood said in a post on
OTTAWA — The federal government is being accused of creating an uneven playing field in Canada’s shipping industry, and critics claim the Prime Minister’s Office is unwilling to rectify it. Later this spring, Ottawa is expected to launch a federal subsidy program to help reduce the cost of shipping lumber and steel between provinces by 50%. But the subsidies — promised by Carney back in November — will only go to rail companies. “We support this initiative to give a boost to those Canadian industries. But what we were asking was for parity because many destinations and commodities, only maritime transport can handle that,” said Etienne Duchesne, business development project manager at Desgagnés, a maritime shipping company based in Quebec. …In the House of Commons last week, Bloc Québécois MP Claude DeBellefeuille said the government was creating “unfair competition between rail transportation and marine transportation,” putting jobs and supply chains at risk.
EAR FALLS, Ontario — No news is not good news when it comes to the future of the sawmill in Ear Falls. Mayor of the community Kevin Kahoot says he’s supposed to talk with Interfor, the owner of the mill, this week. “We have regular conversations in the last few months…every couple of weeks,” says Kahoot. “It’s been kind of status quo recently. They keep pushing markets and tariffs and those kinds of things. But I don’t see a lot of movement maybe until springtime.” The sawmill shut down indefinitely back in October throwing 150 people out of work. [END]
New Brunswick royalty revenues have plummeted by $45 million. It’s a figure that has forestry royalties on track to come in at an historic low in the current fiscal year. And it was a decision to significantly cut royalty rates made quietly by the Holt government last July that’s behind it. That’s as the government suggests it’s a move that’s successfully sheltered the industry from curtailments and closures that are being felt across the country. …The province moved to overhaul timber royalty rates in 2022 after acknowledging its former policy of charging forestry companies a flat rate for wood cut in public forests had failed to take advantage of a two-year explosion in international lumber prices. A new system created under the former Higgs government allowed for rates to rise and fall with the prices of various wood-based commodities. “As forest product markets improve in the future, royalty rates will index upwards,” Herron said.
VANCOUVER, BC – Canfor Pulp Products reported its fourth quarter of 2025 results. For the fourth quarter of 2025, the Company reports an operating loss of $85.6 million; net loss of $133.6 million. After taking into consideration adjusting and one-time items totaling $57.5 million, the adjusted operating loss for Q4 2025 was $28.1 million, compared to a similarly adjusted operating loss of $11.1 million in Q3 2025. …Jointly with Canfor, the Company announced in December 2025 it had entered into an Arrangement Agreement, where Canfor would acquire all of the issued and outstanding common shares of Canfor Pulp not already owned by Canfor, for either $0.50 in cash consideration or 0.0425 of a common share of Canfor. As announced in February 2026, Management’s forecasts indicate a breach of financial covenants is highly probableas early as March 31, 2026. Should the Proposed Transaction not close, the Company would re-engage with itslenders for further temporary relief while it works to undertake a restructuring process.
A large B.C.-based mass timber company is receiving $5.5 million in federal funding to expand its production capacity, the government’s latest support for prefabrication as a means to boost housing supply. Castlegar-based Kalesnikoff Mass Timber Inc. is receiving the funding from Pacific Economic Development Canada’s Regional Tariff Response Initiative. The initiative is investing more than $13 million in 10 projects across B.C.’s southern Interior, helping businesses impacted by tariffs, said a March 2 press release. Kalesnikoff is receiving a repayable investment of $5.5 million to help purchase new equipment to make prefabricated housing components used in multi-family housing, schools, daycares and commercial buildings, said the release. Kalesnikoff’s new mass timber facility in Castlegar, which went into operation last year, is ramping up production, said Andrew Stiffman, the company’s vice-president of construction services.
Visit Canada Wood’s Market News for these stories and more:
The Rainbow, Jordan and Frisby valleys in British Columbia’s rare inland temperate rainforest are home to endangered species and ancient trees. Two logging companies hold licences to log in the old-growth valleys, while the government agency BC Timber Sales has operating areas there. A 2019 proposal to permanently protect 10,500 hectares in the three valleys as a provincial park has gained renewed interest as Revelstoke city council announced in February that it supports increased conservation of the critically endangered inland temperate rainforest.



The lack of significant snowfall in the mountains around Cowichan Lake could be a problem for water levels during the upcoming dry season, according to Brain Houle, the environment manager at the now closed Domtar pulp mill in Crofton. While Domtar shut the mill down earlier this year, the forest company agreed to continue operations at the weir until the end of 2026. Houle said that while there is still time to accumulate more snow before the winter ends, it is possible that the weather will not bring more snow to the mountains before warm weather begins the annual snow melt. “With the Crofton mill now shut down and water withdrawals from the river significantly reduced, it is even more important to avoid the need to use pumps this year,” …Houle said that a stakeholder meeting was recently held … to discuss water issues related to the Cowichan watershed in 2026, including weir operations.
More local governments, contractors and First Nations will take on wildfire-risk-mitigation roles in and around their communities thanks to a $30-million investment in training, equipment and FireSmart programs. “Through powerful partnerships with local communities, we’re doing the work to get ahead of wildfire season,” said Ravi Parmar, Minister of Forests. “We’re investing in local governments, contractors and First Nations to mitigate the risks of wildfire, protecting people and community. This is how we create jobs, support workers and build more resilient forests, restoring confidence in our sector.” The FireSmart Community Funding and Supports program is receiving an additional $15 million to continue prioritizing core FireSmart activities to protect the most vulnerable communities in B.C. The program is part of B.C.’s Community Resiliency Investment (CRI) program. Along with the Crown Land Wildfire Risk Reduction program, it reduces wildfire risk by funding planning, education, co-ordination and fuel-management activities on publicly owned and Crown land.
Prince George is once again surpassing expectations with the sale of two commercial thinning areas in the region, says BC’s forests minister. The sales were made to Freya Logging, a contractor based in Prince George. The total volume between the two sales is 14,005 cubic metres in the West Lake and Greg Creek area. Freya Logging will undertake commercial thinning, a forest management process that removes a portion of trees in a 35-year-old or older stand to create space and provide more light and nutrients for younger trees in the area, while older trees are cut down and sold. The process is also known to decrease the risk of forest fires by reducing fuel loads and increasing forest resilience against pests. BC Forest Minister Ravi Parmar has been a strong advocate for commercial thinning in the province and considers these two sales a milestone for forestry in BC.
The Alberta government has released a new wildfire mitigation strategy aimed at reducing wildfire risk and protecting communities, forests and critical infrastructure across the province. The Alberta Wildfire Mitigation Strategy outlines measures to improve preparedness and strengthen prevention efforts as wildfire seasons become more frequent and severe. Forestry and Parks Minister Todd Loewen said the strategy is intended to help communities better prepare for wildfire and reduce potential damage. …The strategy outlines six focus areas: improving knowledge of wildfire risks, strengthening community and Indigenous partnerships, reviewing legislation and policy, expanding the use of technology and innovation, integrating wildfire mitigation into landscape planning and prioritizing hazardous fuels management.
North Cowichan wants the province to expedite increases to water licences for the Cowichan and Chemainus aquifers. Council authorized Mayor Rob Douglas to write a letter to Randene Neill, B.C.’s Minister of Water, Land, and Resource Stewardship, asking the government to accelerate the licence process at its meeting on Feb. 18. The request came after a presentation by North Cowichan’s engineering director Clay Reitsma on key infrastructure constraints in the municipality. Reitsma said that increased growth and development demands, provincial housing targets, and the recent closure of the Crofton pulp mill have combined to create significant constraints and impacts on North Cowichan’s limited water and sewer servicing, and water-licensing limits. He pointed out that most of Crofton’s water currently comes from the now closed Domtar mill… Domtar has committed to keep the water flowing from the mill’s water systems to Crofton until the end of 2026, but no promises have been made beyond that.

Canada’s drinking water can remain at risk long after wildfires burn out, according to a
PRINCE GEORGE – Recent shifts in the global wood pellet industry have started a debate in BC about forestry, climate impacts, and local jobs. Drax, a UK-based energy company, plans to stop using wood pellets from BC at its power plant in England. Environmental groups believe this move will not affect BC much, but the province’s Forest Minister disagrees. Ravi Parmar, BC’s forests minister, says critics are spreading fear and insists the industry uses byproducts from forestry, not old-growth trees. Michelle Connolly from Conservation North says that although Drax stopping shipments to the UK seems important, the situation in BC is actually much more complex. …Forest Minister Ravi Parmar says BC uses some of the world’s strongest sustainable harvesting practices. He adds that pellet plants use leftover byproducts from logging, not valuable logs from primary forests. 
The City of Ottawa says program cuts at Algonquin College could make it harder to recruit workers. An internal city analysis reviewed roughly 30 programs the college was thinking of suspending and ultimately did cancel after a unanimous board of governors vote on Monday. The city found that the elimination of nine programs would affect its ability to hire staff in the future. The programs flagged include: Nursery Operator – Forestry Services, Public Works and Nursery Worker – Forestry Services, Public Works. …The forestry services branch within the city’s public works department relies on graduates from Algonquin’s horticultural industries program to fill nursery operator and nursery worker roles. It also depends on design foundations program graduates for its traffic services branch, which hires sign designers, fabricators and supervisors.
Welcome to the Wood Pellet Association of Canada’s Spring 2026 newsletter. We hope you enjoy reading it, and we welcome your feedback.