Alice Palmer
On October 14, the US began charging a Section 232 (“national security”) tariff of 10% on imports of Canadian softwood lumber, on top of the duties that were already being charged. The premise that imports of Canadian 2x4s, sofas and bathroom vanities are somehow a threat to America’s national security is so ludicrous it hardly deserves rebuttal (although you can read a good analysis here). …The duties, in contrast, have been promoted as being carefully calculated responses to Canadian wrongdoing. The US Lumber Coalition outlines how the duty investigations by the US Department of Commerce take over a year to complete. Even the duty rates, calculated to the hundred of a percent, give off an aura of precision and accuracy.
Nevertheless, the duty rates are every bit as ridiculous as the new tariffs; this ridiculousness is just more cleverly hidden. For example, the argument that Canadian companies pay less for their logs than American companies do has been shown to be inaccurate: cost comparisons by analysts such as Forest Economic Advisors show that Canadian mills’ log costs are often higher than those of their US neighbours. Similarly, the argument that Canadian logs are “dumped” into US markets is based on biased calculations, due to the US Commerce Department’s use of zeroing in its calculations. …Selectively including some export sales while excluding others from the calculations – biases the results against importers and yields an imposed competitive advantage to the US domestic mills. …Graphically, we can see that the higher-priced US transactions no longer balance out the lower-priced transactions, because the higher-priced transactions have been “zeroed out” (ignored in the calculations). There is an obvious bias to this calculation method!
US President Donald Trump has announced an immediate end to all trade negotiations with Canada over an advert critical of the tariffs he has imposed on the nation. The advert, sponsored by the province of Ontario, quoted Trump’s predecessor, Ronald Reagan saying tariffs “hurt every American”. …In the minute-long advert published last week… the video excerpts a 1987 national radio address by Reagan that focused on foreign trade. …The Ronald Reagan Foundation said the advert “misrepresents” the former president’s address, without specifying why, and accused the Ontario government of not seeking permission to use and edit the remarks. The foundation said it was “reviewing its legal options”. Trump referenced this statement, and said the video was designed to “interfere with” the US Supreme Court’s upcoming decision in November on whether Washington’s sweeping tariffs on many nations’ products are legal.:
The judges at New Brunswick’s highest court are wrestling with how to award costs in the first part of a massive and complex litigation that has entangled the province’s biggest landowners. The New Brunswick Court of Appeal heard arguments from three timber firms that successfully argued their case in preliminary motions in a lower court in the Wolastoqey Nation’s big title claim for about 60% of the province’s territory. …Lawyers for J.D. Irving, Acadian Timber, and H.J. Crabbe and Sons argued that because the case is so complex and important for the rights of all private properties in the disputed territory, they deserve a bigger payout. …The case is expected to cost millions over the years. This is one of the reasons the Liberals say they decided the government should settle the dispute. …The judge said the court would make its decision known at a later date.
Kapuskasing Mayor Dave Plourde says after receiving good news on Friday, Kap Paper is slowly getting up and running again. Plourde said the facility was idle for about six weeks after the board ran out of funds to pay employees. Now the community is relieved that the federal and provincial governments have stepped up with close to $29 million to get around 300 people back on the payroll. Plourde said work is underway to plan for the operation’s future. “We started yesterday on the commencement of that,” he said. “It had already been in the works prior to that, but we’re having regular updates and we’re going to make sure that we have something in front of government very soon.” Plourde, who is also chair of the Federation of Northern Ontario Municipalities, said the support is appreciated, but overall, northern Ontario’s forestry sector requires urgent and coordinated action to ensure long-term stability.
Lumber futures tumbled toward $590 per thousand board feet, a near one-month low, as weakening US housing activity and pre-tariff front-loading left wholesalers awash with stock while stacked US duties on Canadian imports and trade uncertainty pushed prices lower. US homebuilding has slowed, with housing starts falling 8.5% in August to a 1.307 million annualized pace and building permits drifting lower. Many US buyers front-loaded inventories ahead of expected import tariffs earlier this autumn, leaving distributors to work down excess stock before fresh order flow returns. On the supply side, a 10% Section-232 tariff added in mid-October atop roughly 35% in existing duties lifted border costs above 45% for many Canadian shipments, forcing sellers to find new markets or accept lower domestic prices. Producers like Interfor have trimmed output since mid-October, but the cuts are too recent to significantly reduce inventories or regional log supply.
VANCOUVER, BC —
Canada’s merchandise exports fell by three per cent in August to a seasonally adjusted $60.5 billion. This was the second lowest month of the year after April as sales to the U.S. retreated. Imports rose by 0.9 per cent to a seasonally adjusted $66.9 billion during the month. Consequently, the trade deficit grew to $6.3 billion, down from a revised $3.8 billion in July. …The decline was led by a 21.2 per cent drop in forestry products and a 12.5 per cent decline in energy products. The steep decline in forestry products in August 2025 followed the increase of anti-dumping and countervailing duty rates on Canadian softwood lumber that took effect in the U.S. in late July and early August. Section 232 tariffs on lumber in effect in October will be a further headwind. …Year-to-date exports are down slightly (-0.1 per cent) with lower forestry products and building and packaging materials exports (-6.1 per cent)
Forest Products Association of Canada (FPAC) President and CEO Derek Nighbor released the following statement following yesterday’s EU Commission proposal related to the implementation of the EU Deforestation-free Product Regulation (EUDR). “This proposal does not address real concerns with an EU Information Technology (IT) system that is still not fit for purpose and does not address concerns raised by micro- and small businesses part of the integrated supply chain for larger organizations. “We would like to see practical simplification of the EUDR, that appropriately recognizes low-risk third countries such as Canada, as well as EU Member States. We are committed to work quickly with global partners to find an improved proposal, that will both meet the intent of the Regulation, while also enabling strong and vibrant trading relationships, as committed to in the June 2025 strategic partnership between the European Union and Canada.
For the Northwest Territories government’s 2024 Forest Health Report, published last month, researchers were only able to survey about one third of the area they would normally study. Smoke from nearby wildfires reduced visibility for crews on the ground and in the air, making it difficult for researchers to do their work. Even so, one of the report’s findings is the sheer impact of a drought that has covered much the NWT since June 2022 – and its effect on forests. Of about four million hectares of forest surveyed by researchers in 2024, more than 220,000 hectares showed stresses from either the ongoing drought or the high water of 2020 and 2021, the report asserted. Because the survey work was limited by factors like smoke, researchers think the real extent of the issue “is likely substantially larger.” …Drought can contribute to tree and plant mortality, which in turn creates fuel for wildfires. 
VANCOUVER, BC – NorthX Climate Tech (NorthX), a BC-based innovation catalyst backing the builders of Canadian climate hard tech, today launched a funding opportunity for Canadian wildfire technologies. Through the 2025 Wildfire Tech Call for Innovation, NorthX will provide up to $3 million in non-dilutive investments to Canadian companies developing advanced technologies that prevent mega wildfires, enhance firefighting response, and support faster recovery. “With each passing year, wildfires are posing an ever-growing threat to communities across Canada,” said Sarah Goodman, President & CEO of NorthX. “In response, NorthX led the way with Canada’s first wildfire innovation call in 2024. This new round builds on that success, backing Canadian innovators developing the tools to fight fires, cut emissions, and protect lives.” …Founded in 2021 with an initial investment from the Government of Canada, the BC Government, and Shell Canada, NorthX Climate Tech (NorthX) is a catalyst for climate action…
CAMPBELL RIVER – The Forest Practices Board will conduct an audit of Aat’uu Forestry Limited Partnership’s Forest Licence A19236 in the Campbell River Natural Resource District of the North Island Timber Supply Area, starting Monday, Oct. 20, 2025. The audit will examine whether forestry activities carried out between Oct. 1, 2023, and Oct. 24, 2025, comply with the Forest and Range Practices Act and the Wildfire Act. …Forest Licence A19236 is held by Aat’uu Forestry Limited Partnership, a company owned by the Ehattesaht First Nation, and is managed by Strategic Natural Resource Group from its Campbell River office. The licence covers an operating area of about 60,000 hectares, of which Aat’uu currently manages an allowable annual cut of approximately 50,000 cubic metres. The audit area is on the west coast of Vancouver Island, about 70 kilometres south of Port McNeill, near the community of Zeballos, within Ehattesaht territory and neighbouring territories of the Nuchatlaht and Ka:’yu:’k’t’h’/Che:k:tles7et’h’ Nations.
See these stories and more in the October newsletter: As we mark Manufacturing Month and Ergonomics Month, we’re highlighting ways employers can help keep workers safe. 
There’s been a cool edge to the air the last week or so. You may have noticed something else in the air, too — smoke. Unfortunately for those with health conditions like respiratory problems and heart disease, and for those who don’t want to develop them, two jurisdictions in the Cowichan Valley still allow at least some backyard burning, and wood burning appliances are still common everywhere in the Cowichan Valley Regional District. The Town of Ladysmith, City of Duncan and Town of Lake Cowichan have completely banned backyard burning. The Municipality of North Cowichan has cut back on what it allows, but there are still large swaths of territory within its boundaries where lighting up a burn pile is still allowed. … Cowichan’s transfer stations accept yard waste free of charge, so people can take their debris there instead of lighting it up. So consider your alternatives, and the people around you before you burn. Smoke travels.
Quebec’s workers’ safety board (CNESST) concluded that driving a forestry vehicle that had no seat belt or complete door contributed to the death of a worker in Saint-Côme-Linière, in the Chaudière-Appalaches region. The forestry worker died in a workplace accident on Jan. 6 while reversing a vehicle known as a skidder, according to the Commission des normes, de l’équité, de la santé et de la sécurité du travail (CNESST). During the maneuver, the vehicle backed up onto the stump of a felled tree, causing vibrations that ejected the worker from the cab. The man was crushed by the front wheel of the skidder. In its report, the CNESST concluded that “operating a skidder that is not equipped with seat belts or full doors violates section 21 of the Regulation respecting occupational health and safety in forest development work.”
MOUNTAIN VIEW COUNTY – Provincial officials upgraded the wildfire danger rating to high across the Rocky Mountain House Forest Area Thursday as a new wildfire erupted in the area earlier in the day. Parts of Mountain View County are included in the forest area, namely west of Sundre and Bergen, covering Coal Camp and Bearberry west of Range Road 60 from Township Road 312 to the north boundary of the county. “The wildfire danger in the Rocky Mountain House Forest Area has increased to high,” the province’s Oct. 23 update said.”Continued warm temperatures, windy conditions and dry vegetation are contributing to the elevated risk. The wildfire danger will remain high until the area receives consistent and lasting moisture.” A wildfire was detected in the Rocky Mountain House Forest Area earlier in the day on Thursday. RWF080 is estimated at 80 hectares in size.