Mark Carney
Prime Minister Carney told his negotiators to walk away from the table after the Trump administration introduced late unacceptable demands on culture, autos and sovereignty that, when taken in concert with their overall approach to talks, revealed the US was not interested in a “true economic partnership” with Canada. In a departure from his usual diplomatic language, Carney suggested the US sometimes signs trade deals in “pencil,” and while Canada’s government is united and working together, the same is not true of the Trump administration. “We cannot accept what they’ve offered, and we will not give what they’ve asked,” Carney said. The prime minister revealed that the US had issues with Canada’s subsidies for French culture; the prevalence of French-language media online and even the requirement to have bilingual labels on products sold in Canada. …”The U.S. introduced, in the last hours, efforts to restrict our ability to have other trade deals,” Carney said.
Related coverage in:
- The Walrus: Mark Carney: Why I Rejected Trump’s Trade Deal
Barton: You know, it was just a week ago, incredibly, that you and your counterpart, Dominic LeBlanc, shook hands outside, seemed pretty confident that there was a deal to be had. From your perspective, what happened that caused the talks to collapse?
Using the bathroom or having a cry is about to become more expensive for North Americans as the 
WASHINGTON — The US and Canada have 
The Canadian government has announced its plan to hit the United States with dollar-for-dollar counter-tariffs on 
The Domtar paper mill on the Port Alberni waterfront is the area’s biggest employer, with 350 people making specialized food packaging and food-grade papers. But in the light of a new round of 50% tariffs levied by US President Trump, Port Alberni Mayor Sharie Minions is worried about the future of those jobs. …In 2020, Domtar spent $13 million to switch production primarily to the food packaging grade paper, an important diversification at the time, but it’s unclear how much of it goes to the U.S. and would be subject to the new tariffs. …Industry analyst David Elstone says the entire BC forestry sector will be hit hard and it comes right after Domtar closed other mills, including at Crofton and Howe Sound. …”A billion dollars worth of BC wood products will now be subject to the new tariffs, including plywood, veneer, paper and packaging products, furniture, MDF and doors. And that’s what these tariffs go after: these value-added products,” said Elstone. 
TORONTO – United Steelworkers union (USW) National Director Marty Warren issued the following statement on the suspension of Canada-U.S. trade negotiations and the imposition of new 50% U.S. tariffs on Canadian goods: “Canada was right to hold the line rather than accept a deal that did not adequately protect Canadian workers, jobs and communities. We have said throughout these negotiations that no deal is better than a bad deal. The terms being discussed – including significant tariffs and restrictive quotas on Canadian steel and barriers across other key sectors – raised serious concerns for Canadian workers and industries. The new needless 50% tariffs coming into force today will have real consequences for workers, businesses and communities on both sides of the border. We support the government’s commitment to respond dollar for dollar, but retaliation alone is not enough. Ottawa must move quickly to support affected workers and industries. 
VANCOUVER — A leader in BC’s forestry sector is voicing support for Prime Minister Carney’s decision to walk away from trade talks with the US despite reported concessions on lumber tariffs in a scuttled deal. Kim Haakstad, president of COFI, says the breakdown of talks will create challenges for her sector, but Ottawa had to walk away if negotiators couldn’t secure a deal that worked for Canadians broadly. …BC Premier David Eby said that he understood some progress had been made in addressing the long-standing softwood lumber dispute during the most recent talks and it was “disappointing” to see that fail to materialize. …Haakstad called for measures including reducing regulatory restrictions to allow quicker access to BC lumber for a more competitive product on the global market. …She said Ottawa could also help by addressing rail transport costs, a significant barrier for Canadian lumber producers looking to sell products domestically.
BC’s forestry industry expects it will be one of the hardest-hit sectors by the United States’ new 50% tariffs on Canadian goods. …”This is clearly an attack on Canada,” said Derek Nighbor, president of FPAC. Nighbor said the most recent trade action by the US government captures more than $4 billion in Canadian lumber products that include not only raw materials, but also value-added and processed goods like fibreboard, particleboard, paper packaging, and wood moulding products. …David Elstone, a strategic advisor, “Unequivocally, this is the worst, absolutely worst situation we’ve ever been in.” …Kim Haakstad, CEO of COFI, said the lumber industry as a whole is deeply invested in developing international markets and relationships overseas, but cannot compete on a global stage. She said the high cost of Canadian lumber is driven by both federal and provincial harvesting regulations, making it difficult to diversify to markets beyond the US.
Hundreds of stunned B.C. businesses are scrambling. …Doug Pauze, president of Coastland Wood Industries woke up Saturday to an escalating trade war with a 50% tariff target on the wood veneer that Coastland produces. With about 50% of its product typically exported to the US… that means scaling back production. For now, he’ll will avoid layoffs among his 320 employees. What the industry needs from counter-tariffs, he added, is for Canada to put an equal focus on the same amount of competing wood products coming into Canada, because “there (are) no other market options.” …Prime Minister Carney has vowed to levy counter-tariffs on US imports. BC business owner Baha Naemi hopes his government focuses on markets where Canadians can fill any voids the counter-tariffs create. Naemi’s company, CanCorr, makes corrugated cardboard and boxes in Surrey. …BC imports more corrugated paper products from the US than it exports, creating opportunities for Canadian producers hit by tariffs.
For nearly twenty-five years, I have lived in Northern Ontario… and watched one of the province’s foundational industries contract around us. The decline of forestry, and particularly of pulp and paper. …Today, watching the escalating trade conflict between Canada and the US and the extraordinary pressure being placed on Ontario’s automobile industry, I find myself wondering whether there is anything useful in that experience for Southern Ontario. …Act earlier. Distinguish a temporary shock from structural decline. Reduce real cost disadvantages where they exist. Use public money to secure future products and future capital rather than merely extending yesterday’s production. Protect suppliers, tooling, engineering and skilled labour, not simply the assembly building. Treat the loss of the next product mandate as seriously as the loss of the current shift. Northern Ontario learned these lessons at considerable cost. Southern Ontario now has the opportunity to use them.
“One of the hazards of free trade with the United States is the risk of what we’re witnessing now, that the United States could use its economic levers and turn on us as this behemouth next door that has become hostile without us having the time or opportunity to pivot,” said Tom Urbaniak, a professor at Cape Breton University….Where does Nova Scotia stand? “I don’t know,” Stephen Cole answered when asked whether the new tariffs will affect the province’s lumber and paper industries. …Sawmill owners had the same answer. Nova Scotia softwood exports south of the border have been protected under the CUSMA. “We have mostly private wood (about 70% cut off private land), so our timber market here is deemed to be a competitive market,” explained Cole. …What the Nova Scotia forestry industry doesn’t know yet is whether that CUSMA exemption remains under the new tariffs.
Exporters across Brazil shipped US$7.5 billion of pulp, paper, and wood panels over the first half of 2026, down 5.9 per cent on the same months last year, while imports of paper into a market that has always supplied itself climbed 30.5 per cent. That is according to Indústria Brasileira de Árvores, the association representing the country’s pulp, paper, and panel producers, which last week revealed that its export sales into the North American market had sunk by 22.9 per cent. “There is an excess of production from some countries being directed to Latin America and Brazil,” Paulo Hartung said, with the Ibá president putting the half-year down to wars and to a resurgence of protectionism that has disorganised international supply chains. Pulp, the biggest single line in the sector’s export schedule, accounted for $5.2 billion of that total, with export volumes down 10.5 per cent to 9.4 million tonnes, while production held near-stable at 13.9 million tonnes.
The US International Trade Commission (USITC) announced its injury determinations in its antidumping and countervailing duty investigations concerning hardwood and decorative plywood from China, Indonesia, and Vietnam that the US Department of Commerce determined are subsidized and sold in the US at less than fair value and subsidized by the governments of China, Indonesia, and Vietnam. …Chairman Brett W. Doyle and Commissioners Jason S. Kearns and Peter-Anthony Pappas voted in the affirmative regarding hardwood and decorative plywood from China, Indonesia, and Vietnam. They also found that the imports of softwood structural plywood downfall and stamped and certified softwood structural plywood that Commerce determined are sold at less than fair value and subsidized… are negligible, and voted to terminate the antidumping and countervailing duty investigations for these products from China, Indonesia, and Vietnam. The report will be available on the USITC website by September 28, 2026.
The fight for restitution is on at a fallen green-energy giant, following one of the most disastrous commodity trades of the decade. The ill-fated wood-pellet trades that bankrupted Enviva during the sustainable-investing boom were made by executives hoping to trigger their own bonuses, according to creditors who are seeking more than $2 billion in damages. Instead… the nine-figure trades backfired and bankrupted the company, which once had a nearly $6 billion market value. Five of the company’s top executives concealed the inordinately large and risky trades from its board, according to a lawsuit, suppliers and others with claims. …Enviva said it wasn’t involved in the litigation, and none of the former executives named in the suit are affiliated with the reorganized company, which emerged from bankruptcy in December 2024 with new owners and leadership. …The company was considered one of the winners of the green-energy boom. [to access the full story a WSJ subscription is required]
KANSAS CITY, Missouri — A 50% tariff on goods coming from Canada is officially in effect after negotiations crumbled over the weekend, putting a higher price on a large list of imports including lumber and plywood. Pete Peterson, manager at Sutherlands, said prices went up as soon as the news hit. “We don’t want to raise the prices, but we’re just kind of forced to”. Peterson has worked at Sutherlands for over a decade and has seen tariff impacts before. …“Once it’s landed here, it is what it is. Prices are adjusted to what the future prices are going to be. So homeowners, they’re doing less remodeling and stuff.” …“Spring and fall are your renovation times for outdoor projects and stuff. We’re seeing a definite slowdown and people’s need for just everyday projects. Decks, fixing barns, whatnot. Construction, that’s year-round. But homeownership, that’s where our type of business really feels it.”
MAINE — Softwood lumber from Canada is already tarriffed at 45% — this round of tariff won’t impact softwood – but it will impact a range of other building supplies – cement, steel, aluminum, copper products – and a range of lumber products like plywood, fiberboard, and oriented strand board. “Right now the cheapest prices is out of Canada and a lot of this product comes out of Canada.” All of these are products that are known for their resilience – used in everything from custom cabinets to exterior siding. Hillside Lumber co-owner Mike Knight says the tariff increase could wind up causing increased demand for American lumber. “They can’t keep up with the demand if we cut off Canada altogether.” That in turn, could lead to higher prices for domestic products too. “Not that I’m against having everything here in the US but I think if the timing is off.” …The increase trickles down, ultimately hitting the home buyers.
BUFFALO, New York — The changing tariffs policies for the U.S. and Canada are raising cost and supply issues for the home building and remodeling field with possible impact on their customers for planned and future projects… said a contractor and the operator of a lumber and building supplies business. …Domenic Cortese, of Cortese Construction, said “The implications to a new home on the costs of that home are about $10,000 more because of the tariffs. You know you’re probably going to be looking at $2,000 or $3,000 more in lumber costs for a deck just because of the tariffs.” …”The problem is we don’t have the infrastructure in place to ramp up productivity to be able to supply lumber for our needs.” …Lenco’s Stephen Coppola said, “We love the Canadian lumber. Our customers tend to like it quite a bit. But we’ve been very active in trying to find other sources.”
The United Kingdom is forecast to consume 10.35 million tonnes of wood pellets in 2026, representing a 4% increase from 2025 and a record consumption level, according to a report filed with the US Department of Agriculture’s Foreign Agricultural Service. The consumption increase will require an estimated 10.15 million tonnes of imports. The forecast reflects strong demand from the industrial biomass power sector, which is operating at near-maximum capacity as major operators maximise output ahead of structural changes to subsidy mechanisms. Industrial bioenergy accounts for approximately 93% of UK wood pellet demand, with Drax and Lynemouth power stations consuming a combined estimated 9.63 million tonnes annually. …The 4% year-on-year consumption growth from 9.95 million tonnes in 2025 represents continued reliance on biomass within the UK’s electricity generation mix. Residential and commercial heating sectors account for the remaining 7% of wood pellet demand, a significantly smaller market segment than industrial power generation.
AUSTRALIA — Forest & Wood Products Australia released a draft standard for cross laminated timber design to provide a dedicated framework for the structural design of CLT elements. The Standard has undergone independent technical review and provides comprehensive design methods for structural CLT components, subject to the requirements and limitations described in the Scope. Developed through collaboration with industry, researchers and technical experts, the Standard is intended to give architects, engineers and builders a national method for designing cross-laminated timber floors, walls and stairs, under a 46-page document out for comment. …Industry Benefits include consistency across engineering, manufacturing and certification practices; growing use of CLT and mass timber construction in Australia; and an independently reviewed basis for CLT structural design. …The public comment period for this Standard is open for a six-week period to 29 September.
The U.S.-Canada trade war escalated sharply over the weekend. …There are a few obvious implications of the trade war that could fall on Canada’s environment and the nation’s natural resources:
Amid another brutal stretch of hot, dry weather across Canada, the so-called cultural burning practices of North America’s Indigenous peoples are in vogue. In fact, they’re being inflated to the point of being celebrated as an ethnically exclusive competency, supposedly distinct from western science. Parks Canada’s online resources say cultural burning must be Indigenous-led, “so as not to misappropriate cultural practices,” while claiming that prescribed fire… is a “colonial adaptation of cultural burning practised by many different Indigenous groups in Canada.” …We know that Indigenous communities have historically used low-intensity fires to maintain grasslands for grazing, corridors for travel and forests, among other purposes. The evidence of this is substantial and not in question, nor is the effectiveness of those methods in their particular contexts. But that is not uniquely Indigenous knowledge. It is a basic principle of fire management that’s understood and applied around the world.
Canada has released the first ever biological control agent to tackle invasive common tansy (Tanacetum vulgare), an invasive plant that negatively impacts the country and wider region’s livestock, rangeland, and native biodiversity. The release of the agent – a stem-mining weevil called Microplontus millefolii – marks a major milestone in efforts to manage this invasive plant across North America, reducing its ecological and economic impacts. In partnership with the British Columbia Ministry of Forests, Agriculture and Agri-Food Canada (AAFC) conducted the first releases of 1,200 adult weevils in May. AAFC conducted a further release of 400 weevils in Alberta in June. …These releases target areas experiencing significant, negative impacts on agriculture and biodiversity. …The common tansy has diminished the health of lands used for livestock foraging, as well as displaced native vegetation, and has hindered forest regeneration following logging. …Over 10,000ha of common tansy has been recorded in BC across all climate zones said BC’s Janine Brooke.
NORTH GRENVILLE, Ontario — The government is investing $865,000 in the Ontario Woodlot Association (OWA) to enhance private forest management and establish new supply chains for mill by-products and underused wood known as forest biomass. This investment will… test a business model that could double sustainable private harvesting over the next 10 to 15 years. …Ontario is investing $790,000 through the Forest Biomass Program to help the OWA create three new jobs and acquire equipment for the Wood Stewardship Program (WSP). This initiative will increase forest sector productivity by connecting businesses to biomass in privately owned forests. …The project will use up to 100,000 cubic metres of forest biomass over five years, creating new markets to maximize the value of wood and increase the industry’s diversification into value‑added manufacturing. Ontario is also investing $75,000 to support OWA workshops, conferences, publications and collaboration to promote sustainable forest management on private lands.
CALIFORNIA — Tall trees are generally associated with high-biomass forests. This is particularly true for forests dominated by Sequoia sempervirens, the world’s tallest tree species. Extreme decay resistance, the ability to survive high-severity fires, shade tolerance and prolific trunk reiteration (resprouting) make the species unique, allowing tall redwood forests to accumulate more biomass and store more aboveground carbon than any other vegetation type. …A new study published in Forest Ecology and Management combined ground-based measurements and repeated (2007–2025) airborne laser scanning (ALS) to inventory the tallest redwoods and quantify forest biomass. …Forest biomass changed substantially over time. Large areas of primary forest gained biomass during the prestorm interval (2007–2022), averaging 10–13 metric tons per hectare annually. …These ALS-derived estimates of biomass change may be somewhat exaggerated. …Nonetheless, the amount of crown damage probably rivaled losses of live-tree biomass to treefall in California’s Redwood National and State Parks. 
WASHINGTON — A Thurston County, Washington judge upheld larger riparian buffers on timberlands in Western Washington, affirming a rule that will take 200,000 acres out of timber production. In ruling from the bench Aug. 21, Superior Court Judge Christine Schaller said the Forest Practices Board lawfully adopted the new buffer rule after years of study. She acknowledged the economic hardship faced by timberland owners and that her ruling will be appealed. The board, which regulates logging, voted 7-5 last year to expand buffers along streams without fish. The rule will go into effect Aug. 31 and require continuous 65- to 75-foot buffers. The old rule called for 50-foot buffers on half the length of streams. The Washington Department of Ecology said bigger buffers were need to prevent logging from raising stream temperatures in most cases. The timber industry says the buffers will immediately eliminate $1.8 billion worth of timber and have little environmental benefit
CALIFORNIA — More than 4 million acres of California forest land may lose protected status under a proposed rollback of the Roadless Rule by the U.S. Forest Service. The federal government says the rollback is necessary to allow responsible timber production and wildfire mitigation efforts. Opponents argue rescinding the rule, which prohibits road construction and logging on 45 million acres of national forest land, would increase development, harm wildlife habitat, threaten water supplies and worsen wildfire risk. A public comment period on the proposal to rescind the 2001 Roadless Rule is open through midnight Sept. 21, 2026. More than 95% of roadless areas are in 10 Western states: Alaska, Arizona, California, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming, per the USDA. In California, the proposal would open up 4,416,000 acres of roadless land across the state, which has nearly 21 million acres of national forest, the most of any state except Alaska.
California has adopted the toughest rules in the country to help protect communities from burning. Homeowners in wildfire-prone areas will be required to limit plants within five feet of their house, a protective measure that wildfire experts say can help prevent homes from igniting. …Wednesday’s vote by the California Board of Forestry and Fire Protection comes after years of debate and delays. The state originally considered rules that would have restricted all vegetation within five feet of a house, aside from well-maintained trees. That generated pushback from some communities. …California regulators ultimately struck a compromise. Lawns, flowers and non-woody plants up to 18 inches tall will be allowed, unless they are located directly under the roofline of a house. Trees will be allowed, though branches must be trimmed five feet away from a structure. The rules will apply to new construction right away, but will be phased in for existing structures.
For decades, the economics of a pulp mill have centered primarily on fiber, energy and established byproducts. But as low-carbon markets develop, another potential source of value is emerging from the mill itself: biogenic carbon dioxide. Biogenic CO₂ is generated from biomass rather than fossil sources. As governments and companies look for ways to reduce emissions, captured biogenic CO₂ can potentially serve two very different low-carbon markets: as feedstock for synthetic fuels and as a source of permanent carbon dioxide removal. That is beginning to change the conversation around carbon capture. Rather than viewing CO₂ solely as an emissions-management challenge, some pulp mills may increasingly be able to view it as a potential product. For pulp mills, that creates an important strategic question: Which market offers the greatest value for each ton of captured CO₂? …Biogenic CO₂ is just one of several emerging opportunities reshaping the economics of pulp production.