Kirsten Hillman
Canada’s Ambassador to the US Kirsten Hillman told a Senate committee that negotiators were trying to ‘work out the contours of a first step’ for a trade arrangement before US President Trump abruptly ended trade discussions last week. Hillman was asked at the committee hearing where talks were headed before the sudden halt. While she indicated progress had been made since Prime Minister Mark Carney’s visit to Washington earlier this month, she said some sticking points remained. “I don’t want to suggest that we were on the verge of an arrangement. But we had made more progress, in my opinion, in those weeks than we had in a very long time,” Hillman said. …“The US expressed the desire to start with a few issues and try to move those along, while not jettisoning the others,” Hillman said.
In related coverage:
- Megan Messerly in Politico: White House: Trade talks with Canada were going south before the Reagan ad
- Kelly Malone in Global News: Canada, U.S. still talking despite Trump ending trade negotiations: envoy
- Doug Ford in WSJ: Why Ontario Ran the Reagan Act – Not a hostile act but rather an encouragement to embrace what has made our nations great
Industry leaders say they are disappointed with the additional 10% tariff on Canadian goods announced Saturday by US President Trump… over Ontario ad. Jean Simard of the Aluminum Association of Canada said that this announcement is “very unfortunate and uncalled for.” …“I don’t think it’s going to add anything to the situation that the U.S. will be facing moving into the fall season with prices that will be increased by these stacked up tariffs on everything that moves into the U.S.” A $75-million television ad from the Ontario government, featuring remarks by former US President Reagan on tariffs is what prompted Trump to announce he was ending trade discussions with Canada. …“We might see the same phenomenon that unfolded in the course of the months of July and August, where our metal started moving towards Europe instead of the U.S,” Simard said. 
President Trump said that he, personally, wants to attend next month’s Supreme Court hearing on his tariff policies. The U.S. Supreme Court will hear oral arguments, beginning on November 5th, whether the president can unilaterally impose tariffs under emergency powers and is acting legally in his bypassing of Congress. The case involves the import tariffs against Canada, Mexico, and China, over allegations of fentanyl trafficking, as well as Trump’s reciprocal tariffs. …Canada is suffering under some of the toughest US tariff actions for some of its largest export sectors — the auto industry, along with steel, aluminum, and Canada’s softwood lumber. …John Weekes, one of the chief Canadian negotiators of the original North American Free Trade Agreement said a lot of Canadians seem to be holding onto hope that Trump’s tariff war will disappear when the USMCA is renegotiated next year. To that, John Weekes says don’t bet on it.
Luke Lindberg, U.S. under secretary of agriculture for trade and foreign agricultural affairs with the USDA, in conjunction with U.S. Secretary of Agriculture Brooke Rollins, has announced a three-point plan to increase exports, advance rural prosperity, and chip away at the trade deficit. The three-point plan includes:
PORT OF LONGVIEW, Washington — If Northwest Advanced Bio-Fuels has its way, the Port of Longview may soon have a $2.4 billion sustainable aviation fuel plant. But the mega-project to turn timber waste into jet fuel has faced a slew of challenges on its way to landing at the giant riverfront Barlow Point site, a deal that’s still not inked after nearly four years. The people behind Northwest Advanced Bio-Fuels say the project is mere weeks away from finding the financing needed to lock in a site and build the plant — the first of a handful of additional facilities around the region to fulfill Delta Airlines’ immense need for sustainable aviation fuel. To port officials, however, the project is one of about 20 that have considered its flagship Barlow Point site, any one of which could put money down today and start the long process of realizing a mega-project there tomorrow. 
…Arkansas’ forestry industry is feeling the weight of a slowing housing market, a declining demand for many of its products and trade disputes and regulations that have closed off foreign markets. In recent years, several mills in Arkansas have closed — evidence of economic struggles for the industry. In September, Domtar’s sawmill in Glenwood announced a temporary shut down, affecting 150 workers. Shields Wood Products also shut down. Arkansas House Speaker Brian Evans signed on to a letter … calling on Congress to step in and help expand the export market for their states’ foresters. …the Arkansas Economic Development Commission said the state exported $6.45 billion in forestry products in 2023, the largest destinations being Canada, Mexico and Japan. The letter from the state house speakers to Congress makes specific mention of the Chinese market, which cut off the import of logs from the U.S. in March as part of retaliation for American tariffs, Reuters reported. [Access to the full story may require a subscription to the Gazette]
LITTLE ROCK — Arkansas’ leading industry, agriculture, is facing a crisis. But it’s not just row-crop farmers that are struggling — the forestry industry is as well. The market for timber has become so bad that mills are closing and loggers are getting out of the business. “This is devastating to the timber industry in South Arkansas. Eight of the last 11 weeks, we have experienced mill closures in Arkansas, some permanent, some temporary,” said John Dawson, president of Arkansas Pulpwood Co. in Camden. “We’re seeing loggers drop out. Lifelong families that are two, three, four generations of loggers are getting out of the business. Banks in South Arkansas are moving away from loaning money to loggers,” Dawson said. As you’d expect, demand for paper has plummeted. …But demand for lumber is down too. …There’s simply too much supply for the diminishing demand.
TILLEDA, Wis. – A groundbreaking moment in Tilleda, with the introduction of the first chip mill in the United States purchased by a logger co-op, marking the start of a new chapter for the industry. “Because it’s the first of its kind in the country there were a lot of hoops that we had to go through first to figure out what it all looked like legally and logistically,” said Dennis Schoeneck, president of Timber Professionals Cooperation Enterprises. Founded five years ago, Timber Professionals Cooperation Enterprises aims to sustain and grow the timber industry. The co-op is made up of loggers and truckers, and it was those groups who helped raise the $418,000 that went towards the purchase of the mill. They don’t want to stop here, the co-op has big plans for the future.
Canadian Pacific Kansas City reported a big profit boost in its latest quarter despite US tariff disruption and fears over fallout from a potential merger of rivals down the line. The railway saw net income for the quarter ended Sept. 30 rise 10% year-over-year to $917 million. Revenues increased three per cent to $3.66 billion on the back of higher shipping volumes. Grain, potash and container volumes rose markedly year-over-year while forest products — struggling under a sectoral tariff imposed by US President Trump — and energy, chemicals and plastics sagged. …Cross-border steel shipments also dropped due to 50% US tariffs on imports of the metal, though CPKC helped make up the decline with domestic traffic and direct Canada-to-Mexico trade, said chief marketing officer John Brooks. A new item of concern crossed the CEO’s desk over the summer. Union Pacific announced in July it wants to buy Norfolk Southern, and potentially trigger a final wave of rail mergers.
Lumber futures tumbled toward $560 per thousand board feet, a seven-week low, as weakening demand, persistent oversupply, and trade-policy uncertainties converged. US tariffs are intensifying pressure on Canadian softwood, with existing antidumping and countervailing duties around 35%, plus new Section 232 levies of 10% on timber and 25% on wood products, lifting import costs above 45%. Weak demand compounds the decline, with US residential building permits at a seasonally adjusted 1.4 million units in July, the lowest since June 2020, and construction spending down 3.4% from May 2024. Housing starts remain near five-year lows, keeping retail price pass-through muted despite higher import costs. Export channels have narrowed, with Canadian softwood constrained by tariffs and hardwood exports to China dropping from 40% of volume in 2017 to 7% today. Temporary curtailments and mill closures are emerging, yet abundant inventories and sluggish construction sustain downward pressure. [END]
Let’s keep this simple: lumber and steel are two of the biggest drivers of flatbed freight in this country. …So where are we right now, closing out 2025? Lumber futures are sliding off their highs and steel demand is soft with some pockets still running hot. That combination is sending a pretty clear message to flatbed haulers: expect mixed demand instead of broad “every lane is on fire” demand. Some regions will stay busy. Some will get quiet. …Lumber futures have fallen back into the $590–$610/mbf range, down double digits from that August spike, and recently touched the lowest levels in weeks. …There are two main reasons for that weakness: Housing affordability is still brutal. Inventory is sitting. So instead of steady flatbed freight — lumber from mill to yard, yard to jobsite, jobsite to next jobsite — you get pauses. …Lumber and steel tell the truth before the broader market does. 
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.
Shares of D.R. Horton took a hit Tuesday, as the home builder confirmed that the market for new houses was still weak, and it wasn’t just because prices and mortgage rates were too high — people are afraid to shell out so much for a new house when they’re worried about the economy and their jobs. …But even with lower prices and mortgage rates, the number of homes closed fell 1.2% to 23,368, which was below the average analyst estimate. And that weakness comes despite higher incentives to home buyers to boost sales, which pushed profits below what Wall Street was expecting. …Chief Executive Paul Romanowski said affordability was certainly still an issue. But consumers were also concerned about the “volatility and uncertainty” in the economy, which may be leading to worries about the job market. It certainly won’t help matters to see large layoff announcements from high-profile companies.
The world’s largest green timber label will vote next week on whether to begin work on new traceability rules, amid renewed scrutiny and accusations over whether the body is doing enough to prevent fraud within its supply chains. The Bonn-based Forest Stewardship Council (FSC) bills itself as “the world’s most trusted mark for sustainable forestry.” …But forestry experts and whistleblowers have alleged for years that the FSC lacks a proper control system, allowing bad actors to fraudulently pass off timber that was illegally or unsustainably logged as FSC-certified. Phil Guillery, who was the FSC’s integrity director from 2011-21, 
A Montana logging project in grizzly habitat in the Kootenai National Forest will remain on hold until federal officials reassess how road use — particularly illegal road use — impacts the bears, a federal judge ruled on Monday. “This court has repeatedly held that it is arbitrary and capricious to not include illegal motorized use that it knows to occur into calculations, regardless of whether the use is chronic and site specific,” U.S. District Judge Dana Christensen wrote in the 40-page opinion. The Center for Biological Diversity led environmental groups in suing the U.S. Forest Service and U.S. Fish and Wildlife Service in 2022, seeking to block the Knotty Pine Project, and Christensen granted the environmentalists’ motion for a preliminary injunction the following year. …Christensen found the Forest Service violated the National Environmental Policy Act by failing to take a hard look at the impact of unauthorized road use on grizzly bears.
SOUTH BEND, Washington — Pacific County Commissioners Jerry Doyle, Lisa Olsen and David Tobin sent a scathing letter on Oct. 20 to the Washington Forest Practices Board (FPB) regarding a proposed increase in timber-harvest buffer zones along streams. Rural counties and forestry groups are mounting a vigorous push against bigger setbacks away from small non-salmon-bearing streams, arguing that over the course of time the loss of timber acreage will add up to billions in lost local economic activity and millions less taxes that currently support government services. Washington state established the Forest Practices Act and the FPB in 1974. It is tasked with establishing laws to “protect salmon, clean water, and the working forest economy.”
Washington’s lands commissioner, Dave Upthegrove, is on a mission to secure $60 million of additional wildfire funding in next year’s legislative session, despite a tightening budget outlook. On Monday, he and a leading Democratic House lawmaker indicated that they want to tap revenue from the state’s cap-and-trade program for at least some of that money. The maneuver would mean turning to a steady-flowing stream of cash at a time when the state’s operating budget is squeezed. “Climate Commitment Act dollars are going to be on the table,” said state Rep. Larry Springer, D-Kirkland, who is deputy House majority leader. Lawmakers this year already started dedicating some of the climate dollars to the wildfire programs in question. At issue is funding provided under a 2021 law known as House Bill 1168, which passed with broad bipartisan support. With that legislation, lawmakers committed to direct $500 million over eight years to wildfire programs.
Fall is the busy season for forestry work, like fuels reduction. Summer fire restrictions have ended, and winter snow has not yet arrived. But Armando Lopez, owner of DL Reforestation in Jackson County, said the federal government shutdown has put his work on hold. Inspectors can’t visit project areas, and he’s waiting on hundreds of thousands of dollars in payments. Every day, he eagerly checks whether the government has reopened. …Lopez employs around 40 workers, most of them on temporary H-2B visas. If the shutdown doesn’t end next week, Lopez said, he won’t be able to pay them. …The Oregon Department of Forestry said in a statement that payment delays for contractors like Lopez are varied, depending on the federal agency and funding source. …But U.S. Forest Service, state, private and tribal forestry awards are continuing.
Ash trees are an important part of the basket weaving tradition, which has long played a significant cultural, spiritual and practical role in the lives of tribal citizens across the country, including John Daigle, a citizen member of the Penobscot Nation in Maine. But the emergence of the emerald ash borer beetle …has posed challenges for Indigenous basket makers. A grant awarded to Daigle, a professor of forest recreation management at the University of Maine, could help preserve and advance the craft. It’s part of the Indigenous Forest Knowledge Fund, a program run by the Northeastern States Research Cooperative to support projects related to tribal homelands or ancestral territories of the Northern Forest region… Daigle’s project was one of three winners this year. His team will also develop technologies to support the processing and storage of ash splints before widespread ash mortality, which could help sustain basket-making supplies.
…An ice storm 