KELOWNA — Prime Minister Mark Carney’s government is preparing financial supports for the forestry sector as the United States ratchets up duties on Canadian softwood lumber. …It comes amid heightened trade tensions with the United States over softwood lumber, a decades-long friction point in the Canada-U.S. trade relationship. The US Commerce Department recently announced it intends to hike anti-dumping duties on Canadian softwood to just over 20%. The prime minister outlined a series of supports at a lumber mill in West Kelowna, B.C., on Tuesday, saying Canada will be its own best customer by relying on more Canadian timber as it works to double the pace of new home building to almost 500,000 homes a year over the next decade.
In support of the Canadian announcement:
- FPAC’s Derek Nighbor: Welcomes Prime Minister Carney’s Support for Forest Sector Employees and Businesses
- CWC’s Rick Jeffrey: Welcomes Federal Investment in Forestry Innovation and Housing Solutions
- COFI’s Kim Haakstad: This support comes at a critical moment for forestry workers, communities, and companies
- Alberta Softwood Lumber Trade Council’s Jason Krips: Is encouraged to see the federal government recognize the importance of Canada’s forest sector
- BC Lumber Trade Council’s Kurt Niquidet: Resolving the lumber dispute with the US must remain the top trade priority
- United Steelworkers’ Jeff Bromley: United Steelworkers union welcomes federal softwood announcement, calls for urgent follow-through to protect jobs and communities
President Donald Trump said the US will put a 35% tariff on some imports from Canada, escalating the tensions between two countries that have impaired one of the world’s largest trading relationships. The new rate represents an increase from the 25% tariffs Trump imposed in early March under an emergency law. …But the US administration kept in place an exemption for goods traded under the rules of the US-Mexico-Canada trade agreement. US automakers and other companies with integrated North American supply chains had pushed for that carve-out, which has allowed US importers to continue bringing in the bulk of Mexican and Canadian products without duties. Because of the USMCA exemption, the effective tariff rate on US imports of Canadian goods was around 5%. …Trump signaled that he would be open to further talks with Carney. …Hours before raising Canada’s tariffs, Trump agreed to extend current tariffs on Mexico for 90 days.
VICTORIA — BC’s minister of jobs and economic growth is urging the federal government to stand firm and “negotiate hard” when trying to find a solution to tariffs imposed by President Trump. …He said he believes Carney and Canada-US Trade Minister Dominic LeBlanc are taking the right approach, “which is keeping their head down… and not getting distracted by the day-to-day swings of the president of the United States.” He said he would also highlight the importance of the softwood lumber industry for BC, which is just as crucial as the auto industry is to Ontario. …Both Eby and Kahlon have repeatedly argued that the long-running softwood lumber dispute with the United States should be part of a larger deal. Brian Menzies, executive director of the Independent Wood Processors Association, said he is “not very optimistic” that a future deal would also resolve the softwood dispute.
President Trump’s expanded reciprocal tariffs will not apply to any products loaded onto a vessel for transport into the US before 12:01 a.m. New York time on Thursday, according to guidance issued by 
Wyoming’s few remaining lumber mills have been struggling, but a shift in federal and state timber policy might herald a new era for the industry here. Gov. Mark Gordon on Friday signed an executive order calling for an “increase of active forest management in Wyoming.” It mirrors President Donald Trump’s March 1 executive order for “immediate expansion of American timber production.” That might be the break that Wyoming logging companies and timber mills have for years been anxiously awaiting, Jenny Haider, of the Evanston-based Smith & Jones Timber Company, told Cowboy State Daily on Monday. The fourth-generation family-owned business has been going for 80 years but barely survived the past few, she said. …Trump’s order, coupled with tariffs on Canadian timber being imported into the US could be a game-changer for logging operations and mills in Wyoming. …Now, Wyoming timber companies are “using the word ‘hope’ again,” she added.
A panel of appeals court judges on Thursday voiced deep skepticism with the Trump administration’s attempt to justify sweeping tariffs based on a national emergency. The US Court of Appeals for the Federal Circuit is hearing arguments Thursday over whether Trump’s sweeping tariffs are lawful. A group of small businesses and a coalition of states are asking the appeals court to invalidate the bulk of Trump’s tariffs, arguing that Trump overstepped his power when he invoked the rarely used International Emergency Economic Powers Act (IEEPA). At the start of Thursday’s hearing, judges on the appeals court panel questioned why Trump is relying on a law that has never been used to justify tariffs, saying that the law itself never mentions the word “tariffs” and voicing concern that the president justifying the unilateral action based on an emergency could amount to “the death knell of the Constitution.” 
Canada’s merchandise trade deficit widened in June to C$5.9 billion as imports grew faster than exports due to a one-time high-value oil equipment import. The deficit observed in June is the second highest on record after the deficit expanded to its largest in history in April to C$7.6 billion, when the impact of US tariffs first started to weigh. Canada’s exports to the US as a share of total exports shrank to 70% in June from 83% in the same period a year ago while its surplus with the US contracted by a half in the same period, data showed. Total imports were up 1.4% in June to C$67.6 billion from a drop of 1.6% in the prior month, Statistics Canada said. Canada’s total exports grew 0.9% in June to C$61.74 billion following an increase of 2% in May, led primarily by an increase in crude oil exports.
It’s been over a week since the U.S. Commerce Department confirmed that it’s nearly tripling its anti-dumping duties on Canadian lumber imports from 7.66% to 20.56% following its annual review. The response from north of the border has been apoplectic, to say the least. …In the US, several entities are worried about the hiked duties, too. The NAHB continues to sound the alarm that new duties will raise the cost of homebuilding. …”We are also urging the administration to move immediately to enter into negotiations with Canada on a new softwood lumber agreement.” …The US Lumber Coalition continues to be the loudest voice in the room in favor. …”Canada continues its relentless shipments of dumped and subsidized lumber with devastating consequences for mills, workers, and communities.” …The downstream effects of all these trade war machinations remain to be seen, though the cross-border lumber trade has already slowed down considerably.
Lumber futures hit their highest price in three years Friday despite a home-building slump and a lackluster remodeling market. Though wood demand is tepid, traders are pricing in dramatically higher duties on lumber imports from Canada. Lumber futures for September delivery hit $695 per thousand board feet Friday, up 39% from a year ago and the highest price since summer 2022, when the price of two-by-fours was tumbling down from its pandemic surge. November futures are trading even higher, around $710. The US raised its antidumping duty Tuesday to nearly 21% from 7.7%… [and] The Commerce Department said it would impose a higher countervailing duty in the coming days. The combined rate is expected to be around 35%. …”We don’t make a tremendous amount of money on distributing lumber,” Builders FirstSource CEO Peter Jacksons told investors. “We’re not eating a 20-point increase in lumber. It’s not possible. So it will be passed through. The market will adapt.” [to access the full story a WSJ subscription is required]
NEW YORK, NY -‑ Mercer International reported second quarter 2025. In the second quarter of 2025, net loss was $86.1 million compared to $67.6 million in the same quarter of 2024 and $22.3 million in the first quarter of 2025. Mr. Juan Carlos Bueno, Chief Executive Officer, stated: “Our operating results for the second quarter of 2025 reflect the impacts of ongoing uncertainties in the global trade environment coupled with the resulting weaker dollar. This challenging backdrop contributed to weaker demand for pulp in China during the quarter. …Our lumber sales realizations in both the U.S. and Europe increased in the second quarter of 2025 as a result of lower supply and steady demand.
VANCOUVER, BC — 
The Bank of Canada today maintained its target for the overnight rate at 2.75%, with the Bank Rate at 3% and the deposit rate at 2.70%. While some elements of US trade policy have started to become more concrete in recent weeks, trade negotiations are fluid, threats of new sectoral tariffs continue, and US trade actions remain unpredictable. …The current tariff scenario has global growth slowing modestly to around 2½% by the end of 2025 before returning to around 3% over 2026 and 2027. CPI inflation was 1.9% in June, up slightly from the previous month. …Based on a range of indicators, underlying inflation is assessed to be around 2½%.
Canada’s pension funds have more than $1tn invested in the United States, and that figure could grow by $100bn or more annually, said Dominic LeBlanc, the federal minister responsible for US trade, during a visit to Washington. …Financial Post reported that LeBlanc made the comments in response to questions about whether US President Donald Trump might request specific commitments on Canadian investment as part of trade talks. The US has offered increased foreign investment as a possible pathway to improved trade terms. …Despite the potential growth in US exposure, LeBlanc said the federal government would not direct pension managers to increase their holdings or participate in specific American projects as a condition for reduced tariffs. Canada’s pension funds are already deeply integrated into US markets.
Japan’s housing starts fell 15.6% year-on-year in June 2025, slightly better than market expectations of a 15.8% drop and easing from May’s sharp 34.4% plunge—the steepest since September 2009. This marked the third consecutive monthly decline but the mildest in the sequence, as contractions slowed across key categories: owned (-16.4% vs -30.9%), rented (-14.0% vs -30.5%), built-for-sale (-17.9% vs -43.8%), and two-by-four homes (-5.7% vs -26.4%). On the other hand, prefabricated housing starts declined slightly more (-9.6% vs -9.3%), while growth in issued units moderated sharply to 10.2% from 76.7% in May.
If some banks or financial institutions have long been poised to abandon paper records, a representative to Congress is saying “Not so fast. US Rep. Mike Turner, R-Dayton, said he reintroduced his “Protecting Against Paperless and Electronic Requirement (PAPER) Act” recently. This legislation would prohibit financial institutions from abandoning paper records to use electronic bank statements. For many years, banks would print and mail monthly bank statements to all customers. For a while now, though, paper bank statements have been replaced by electronic statements. …The PAPER Act would bar financial institutions from restricting services based on a customer’s preference for paper statements, making certain that all Americans can participate in our banking system in a way that works best for them.” …In March, President Trump signed an executive order mandating that the federal government shift from paper-based payments to electronic payments.
PENSACOLA, Florida — A Beloit, Wisconsin-based general contractor will have a share in redeveloping a beachfront park in Florida. Pensacola, Florida-based The Dawson Company announced Beloit-based Corporate Contractors will be a co-developer, co-owner and investment partner in the first phase of a $200 million redevelopment of Community Maritime Park in Pensacola. Diane Hendricks, named the richest self-made woman in the US by Forbes and cofounder of ABC Supply, owns Corporate Contractors through the Hendricks Holding Company. …The first phase of construction involves two mass timber towers for the Reverb by Hard Rock Hotel and Rhythm Lofts, plans showed. The project will also have an affordable aspect, plans added. …In Wisconsin, CCI’s portfolio includes the Beloit College Powerhouse and The Grain mass timber development in Delafield. CCI is currently the owner’s representative for the $500 million Ho-Chunk Nation Casino and Convention Center underway in Beloit.
AUCKLAND, New Zealand — Consent has been granted for construction to begin on a $100 million development on Auckland’s Karangahape Rd that will have retail and office spaces. The 11-storey timber building will be located minutes from the new Karanga-a-Hape Station which is part of the City Rail Link*. Developers James Kirkpatrick Group (JKG) are planning to begin construction in early 2027 after reaching an agreement with Auckland Council. JKG managing director James Kirkpatrick said “This development will create a new benchmark for sustainable urban design and construction in New Zealand and will enable the city to realise the full social and economic potential of the City Rail Link. The building is designed by globally renowned local architects Fearon Hay and is targeting a world-leading 6 Green Star sustainability rating.
Decarbonizing the economy requires a large-scale transition from fossil carbon-containing feedstocks to minerals and biomass, notably wood in buildings. Increasing harvesting is under discussion to meet the supply of wood for ‘timber cities’, with potentially negative impacts on forests and biodiversity. Here we investigate pathways to timber cities, including their impacts on land use, energy use and greenhouse gas emissions by quantifying global and regional wood cycles using Bayesian material flow analysis. We show that shifting wood fuel to industrial use and maximizing circular use of wood can make timber cities possible with the current harvest volume. Our results reveal that these pathways have better environmental performance than increased harvesting, reducing total CO2 equivalent emissions by 2100 by 40.8 Gt compared to business as usual. To achieve the wood transition, regional and cross-sectoral governance and planning are needed, addressing national-level pathways and inter-regional wood transport. 
WASHINGTON, DC – U.S. Secretary of Agriculture Brooke Rollins announced the US Forest Service is investing $106 million to support state and landowner efforts to conserve private working forestlands across the country. Funded through the Forest Legacy Program, these projects will protect forests vital to the economic and social fabric of local communities – ensuring they remain productive, working forests for Americans and tourists to use and enjoy. …In total, the Forest Service will fund 10 projects across 177,000 acres of state- and privately owned forestlands in Arkansas, Hawaii, Iowa, Michigan, Mississippi, New York, Oregon and South Carolina. The investments advance President Trump’s Executive Order on 
The Trump administration’s tumultuous relationship with China is proving to be a major issue for some companies in Alaska’s forest products industry. That includes in Haines, where a timber sale that was supposed to kick off this spring has stalled amid China’s ban on US log imports. China announced the ban in March, citing concerns over pests like bark and longhorn beetles in US shipments. The move came the same day that China imposed retaliatory tariffs on certain US agricultural products amid President Donald Trump’s global trade war. The decision has had sweeping effects on companies that harvest logs in Alaska and ship them overseas. …The trade disputes have also hit Canadian lumber company Transpac Group. The company in March largely shut down its site on Afognak Island, just north of Kodiak, citing the ban and failed efforts to divert its product to other markets.
The Washington Forest Practices Board is proposing new legislation pushed by the Washington Department of Ecology that will affect all of us financially. The Washington Forest Practices Board (FPB) is supposedly an “independent” state agency responsible for establishing rules that govern forest practices in Washington state. It’s chaired by the Commissioner of Public Lands Dave Upthegrove. …The FPB is proposing streams that are perennial with no fish should have the existing no-harvest buffers changed from 50 feet each side of the stream to 75 feet (or more). The proposal affects not only the stream buffer width, but the length of stream buffer and volume of restricted trees. Why does it affect you? All timber harvests are taxed by the state of Washington — 4% of the net log value goes back to the county the trees were harvested in. …You are affected by this proposed change in law that does nothing for fish.
The forest products industry is an important part of the European economy and a crucial pillar for the transition to a low-carbon economy in the future. At the same time, this sector is not immune to trade uncertainty and geopolitical risks. As Europe looks to rely more on its own resources, there is an opportunity to better utilise the continent’s forests through investment and active management. …Although the EU has just 5% of the world’s forests, it produces approximately 20% of the world’s roundwood each year. Over the past decade, the EU has gone from being a net importer of roundwood and fuelwood to a net exporter – with the EU’s net trade surplus reaching 15.4m sqm in 2023. …Despite unpredictable trade flows… Research indicates that total demand for wood fibre in the EU will grow by 25% between now and 2050. 
