WAHSINGTON — I read a poll earlier this month showing that 41% of Canadians see the US as “an enemy country.” The poll was conducted right after President Trump slapped 50% tariffs on $27.6 billion of Canadian exports to the US. …I have no illusions that U.S.-Canada relations were idyllic before Trump took office. …But the recent turn in US-Canada relations feels different. Canada’s willingness to antagonize its far larger trading partner signals how much Canadians now fear that their economic integration with the United States was a major strategic mistake. Can the economic relationship between the two countries be repaired? …A conversation with Rohinton Medhora at McGill University… left me with three take aways. 1. Canadians are feeling frustration, anger, and trepidation. …2. Carney sees no political or strategic alternative to retaliating against the Trump tariffs. …3. Washington and Ottawa may find an off-ramp, but Canada will continue to reduce its vulnerability to US economic pressure.
Canadian Prime Minister Carney welcomed the European Union’s ambition to make Ottawa an associate member and said Canadian lawmakers would ultimately vote on the final structure of the alliance. …Carney did not name President Trump in his speech, but he nodded to his US counterpart’s use of tariffs by saying, “Economic integration is now being weaponized — tariffs being used to exert pressure.” …His comments come shortly after Trump described the prospect of Canada becoming the first associate member of the EU as “laughable” and threatened the bloc with tariffs if he deemed the move to be a “hostile act.” …European Commission President Ursula von der Leyen said that the 27-nation bloc wanted to bring the relationship with Canada “to the highest level possible.” …Associate membership doesn’t currently exist as a formal category under EU treaties, and any such arrangement would need to be created and ratified by member states.
WASHINGTON, D.C. – For Martin Wiegand, Canadian softwood lumber is the “champagne” of wood. His family lumber business dates back to the 1800s in Washington, D.C. Wiegand has relied on Canadian Western red cedar for years. In fact, more than half of his business deals with selling Canadian softwood to customers to build fences, pergolas, decking and siding. …But US President Trump’s tariffs are raising the price of the basic 2×4 wooden plank, making it difficult to plan how expensive inventory will be or how much his business can afford to buy. “So, it lengthens the lead time for our customers and in their projects and ordering, so it makes it a little more difficult,” he said. …“My message to Donald Trump is: Stop this. Stop. Stop the tariffs,” Wiegand said. “There’s no American sawmill jumping in and starting to produce Western reds,” Wiegand said.
NEW YORK — A trade war between the United States and Canada is making it more difficult and expensive for small businesses in the economically entwined countries to operate, according to business owners caught in the crossfire. …The tariffs so far involve about 5.5% of the neighboring nations’ bilateral trade in goods. Analysts say the overall economic impact therefore will be muted. But small business owners who depend on cross-border sales say a tax of up to 50% on their products and ill will created by the conflict have an outsize effect on them:
President Trump’s tariffs on Canada are creating clear winners and uneasy allies, with steel and lumber producers embracing the protection while alcohol and dairy groups see the levies as a bargaining chip to push Ottawa to the negotiating table. Steel producers are the most vocal. …Beyond steel, the US lumber industry says Mr. Trump’s tariffs on Canadian wood have given it a boost. Domestic lumber producers are projected to add 2.5 billion board feet of capacity in the next two years. That translates to 1,667 more workers at the mills, 4,150 jobs in supplier industries and 3,100 jobs in surrounding communities, according to the U.S. Lumber Coalition. The coalition noted that Canada’s US market share plummeted from roughly 35% to 19% after first-term tariffs. …Yet these protections carry a price. Builders and manufacturers are paying more for steel and lumber. …While protective tariffs shield primary producers, they squeeze downstream industries caught in the crossfire.
Chief political correspondent Rosemary Barton speaks with US Democratic Sen. Ruben Gallego about the impact of the US-Canada trade war on the state of Arizona. Plus, Janet Mills, governor of Maine, talks about the trade war’s effect on her state. Then, a Michigan-based furniture business owner and an Ontario-based distillery owner describe what the tariffs have meant for their businesses. …The US president spoke about the state of relations with Canada this past weekend while on a trip to Ireland, saying… “Canada wants to make a deal very badly”. …But not all US- elected officials are on board with the president. Ruben Galgo, a Democratic senator from Arizona posted this past week saying Trump’s actions against Canada have made things more expensive for Americans. …Janet Mills is another Democratic governor said “what the president is saying and doing in recent months and years is not reflective of how we as a state feel about people of Canada. 
Prime Minister Carney will convene his cabinet today in Banff, Alta., a day after US President Trump claimed Canada is “dying” to make a trade deal. Both countries have imposed levies on a wide range of imported goods. Canadian counter-tariffs, which went into effect on Tuesday in response to American levies, cover $27.6 billion in American steel, dairy, paper, and other goods. The same day, U.S. President Donald Trump signed a flurry of executive orders, barring a series of Canadian imports to the U.S. outright, including motorcycles, booze and whey. He has also signed an order to rename Lake Ontario to “Lake America,” criticized Canada’s relative lower dollar, and posted a series of memes – one which called Carney “governor,” and another depicting Canada and Greenland under an American flag. …Canada will scale back environmental review for major energy projects. …Conservative Leader Pierre Poilievre heads to Washington. …Democrats call Trump’s trade offensive “pointless”.
Ottawa will pay BC consultant Forest Economics Advisors LLC of Port Coquitlam, $84,000 to identify five countries that could buy more Canadian softwood lumber, nearly a year after Prime Minister Carney announced a $1.2 billion plan to diversify the industry away from the US market. …The consultant will be tasked with estimating how much Canadian lumber could realistically be sold in each prospective market and how quickly exports could grow. The study will also examine demand forecasts, international trade patterns and transportation costs. Natural Resources additionally wants the consultant to calculate how much money Canadian sawmills would have to spend retooling their facilities to manufacture products suitable for the identified markets. “The department is seeking a comprehensive analysis that identifies likely offshore growth markets for softwood lumber demand and evaluates Canada’s ability to compete in and sell to those markets,” said the contract notice. The final report is due Jan. 29.
In the face of ongoing trade disputes, including those around softwood lumber, the Government of Canada is taking decisive action to support the forest sector. We are committed to protecting workers and jobs, and giving Canadian companies the stability they need to weather short-term shocks and retool for a stronger, more diversified future. In support of that commitment, the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, today highlighted a $30-million loan to Conifex Timber Inc. through the Large Enterprise Tariff Loan (LETL) facility. The funding provided through LETL will help the company adapt to current conditions, support its workers, and build a more secure future for the community of Mackenzie, British Columbia. This support comes as the Government of Canada enhances the LETL facility to better meet the needs of Canadian employers facing continued trade uncertainty.
A comprehensive support package will fill the gap and help BC businesses affected by US tariffs produce and sell more of their products locally as well as overseas. … “President Trump’s unfair trade war is an attack on BC workers, businesses and communities – especially in our forest sector,” said Premier David Eby. “BThat’s why we’re enhancing proven programs to help BC businesses find new customers, create jobs and build a stronger, more resilient and self-reliant economy.” The support package provides new funding to existing programs:
PRINCE GEORGE — A long-standing Prince George transportation company is preparing for a major downsizing after losing a key forestry hauling contract in the wake of Canfor’s Northwood Pulp Mill closure. Excel Transportation announced it will no longer serve as a hauling contractor for Canfor, a decision the company says stems from the ongoing downturn in northern B.C.’s forestry sector rather than any concerns about performance or safety. “This is one of the most difficult announcements we’ve had to make in our company’s history,” said CEO Annie Horning in a statement. The closure of the Northwood mill earlier this year eliminated roughly 300 Canfor jobs and significantly reduced the amount of wood being moved throughout the region. With less timber available to haul, Canfor reduced the number of hauling contracts it requires and ultimately chose not to retain Excel.
Indigenous land titles, data centres and human-bear conflicts are among the top-of-mind concerns for municipal politicians, as they gather for their annual fall convention and attempt to influence the provincial government’s agenda. The Union of B.C. Municipalities convention this year is being held in Vancouver from Sept. 14 to 18. … The City of Nanaimo is calling for a ban on exporting raw logs and lumber cants. A cant is a raw log with its bark removed. The motion identifies a lack of adequate and affordable wood fibre supply as a key factor in the continued curtailment or permanent closure of B.C. sawmills and pulp mills. Over the past five years, on average, about 3.2 million cubic metres of raw logs have been exported. The ban would be to “ensure that forests harvested in B.C. from Crown land and private managed forest lands are processed in B.C., encouraging value-added manufacturing in B.C. and supporting employment in B.C.’s forest industry,” the motion states.
A Chemainus company is getting a $2-million boost from the province to expand its operations and create new jobs, amid punishing duties and tariffs from the U.S. Ron Anderson & Sons, which makes prefabricated wall systems, plans to diversify its product line to include prefabricated floors, roof panels and stairs for builders, creating about 35 new jobs. “With the US targeting our manufacturing industries, it has never been more important to help local businesses like Ron Anderson & Sons sell more of what they make here at home,” Adrian Dix, acting minister of jobs said Wednesday. Ron Anderson & Sons says it has already invested in advanced manufacturing equipment, hiring of 20 new employees. Jack Downing, CEO, said the government funding will help the company expand its capacity and invest in advanced automation. …Forests Minister Ravi Parmar said that amid “economic attacks” from the U.S., the province is unlocking the full value of BC wood.
VANCOUVER – British Columbia forestry groups have written to Premier David Eby saying the industry is at a “breaking point” and calling for urgent action to address challenges ranging from slow-moving provincial processes to steep U.S. tariffs. The letter dated Sept. 4 said the entire industry is at risk, from logging and transportation to pulp and paper and value-added manufacturing. “…Government must respond with the urgency that crisis demands,” said the letter from contractors, manufacturers, unions and others linked to the sector. …But other challenges are “homegrown,” it said. The province “can control many of the costs, regulations, policies, permitting processes and fibre-access decisions that determine whether those companies survive it,” the letter said. …Eddie Petryshen, with Wildsight, said the “falldown” of the forest industry has been predicted — and ignored — for decades. …Parmar highlighted the province’s plan to shift to a “working forest” model, saying that it would address concerns the industry has been raising.
KAMLOOPS — Forestry stakeholders in British Columbia, from loggers to truckers, First Nations, unions and specialty groups have signed an open letter to Premier David Eby demanding immediate action on the forest sector. Pulp is the main game for forestry in Kamloops, with the Kruger mill employing hundreds in the community either directly or indirectly. U.S. Section 338 tariffs are expanding, expected to hit the pulp sector. “Unlike lumber, the tariffs aren’t as dramatic of a direct hit because we sell about 90 per cent of our pulp offshore, not to the United States,” said Joe Nemeth from the B.C. Pulp and Paper Coalition. …Kamloops MLA and forest critic Ward Stamer was in favour of the actions outlined, highlighting the need for a quick response from government to save the sinking industry. …Solutions around permitting and increasing allowable cut, some of the quicker changes the province could enact. Without that change, Nemeth is worried for the future.
Oliver, BC — The Osoyoos Indian Band (OIB) and the Gorman Group, through Similkameen Forest Products Ltd. (SFP), signed a partnership agreement on July 20, 2026, that gives the OIB a direct role in the planning and management of Tree Farm Licence (TFL) 59. TFL 59 is located east of Oliver within the OIB’s traditional territory. It is a long-term tree farm licence that provides the holder of the licence the opportunity to manage a defined forest area, and it has been held and managed by SFP. Through its forestry company, Nk’Mip Forestry LLP (Nk’Mip), the agreement means that the OIB will now be involved in the management work from the beginning of the forest planning process.
THUNDER BAY — The Ontario government is investing more than $2.5 million to advance major upgrades at Thunder Bay Pulp and Paper, as well as two additional projects in Northwestern Ontario that will increase the industry’s use of mill by-products and underused forest biomass. The upgrades will help increase the forest sector’s production and capacity, protecting over 700 direct jobs and more than 3,350 indirect jobs. This Forest Biomass Program funding is part of the government’s plan to protect Ontario forestry workers. …Ontario is investing more than $2.4 million to plan boiler and chemical plant upgrades at Thunder Bay Pulp and Paper, a critical anchor mill in Northwestern Ontario’s forest economy. …AUX Energy is receiving $92,500 to develop plans for a biomass-powered generator project that will increase energy security in Fort Frances. …Weyerhaeuser is receiving $32,650 for a study of production line upgrades to reduce costs while improving efficiency and product quality.
U.S. District Court Judge Vince Chhabria is ordering a temporary pause of the Agriculture Department’s imminent plans to relocate employees across the country. Chhabria 
American sawmilling is adding capacity faster than it is using it, with 2.1 billion board feet due in the South by 2028, net of every closure already announced. That is according to Forisk, the forest industry consultancy, which tracks more than 2,350 North American mills and logged fifteen sawmill projects in the third quarter alone. “We searched for a buyer… for our mill in Montrose, Colorado,” president Jim Neiman said. Twain Lumber met the opposite condition in Virginia, buying a mill that had been idle since 2024. Twelve of the fifteen projects added capacity, and the three that took it out were all Canadian, with Canfor closing Fox Creek in Alberta for good and Western Forest Products holding Cowichan Bay in British Columbia down since May. Canadian producers have worked both sides of that trade for a decade, and West Fraser shut down 100 Mile House in British Columbia last year while expanding its Henderson facility in Texas.
In this update, you’ll find these stories and more:
Washington businesses are bracing for the impact of Canadian tariffs on American goods. One of the state’s largest industries, lumber, is already feeling the pressure. One company says uncertainty over trade policy is raising the cost of imported materials, weakening demand, and making it harder to budget projects. Tariffs might be a short term thing, but the repercussions of them play out for years. Canada is Washington’s 2nd largest export market with more than $7 billion in goods shipped north of the border last year. Governor Bob Ferguson says exports have already topped $4 billion this year. [.5 min video]
BOISE, Idaho — Tensions between the US and its second-largest trade partner — and Idaho’s top partner — boiled over last month when President Trump lashed out at Canada with a slew of new tariffs. …Canadian officials said last week that they were “targeting” products that would affect certain states as they responded with tariffs of their own. …Idaho exports more goods to its northern neighbor than it does to its next six largest markets — Taiwan, Mexico, Singapore, Japan, China and Malaysia. Agricultural and food products are the state’s top exported goods, and Canada is the biggest market for them. …Wood, paper, pulp and printing products are also on the list of items facing 50% tariffs from both sides. …Idaho imports wood and paper products from Canada more than twice the amount it exports. …Trump’s new round of tariffs is another way to target Canadian wood, which this time affects different types of plywood.
Regulators in Vermont have issued a waiver to permit biomass plants Ryegate Power and the McNeil Generating Station in Burlington to purchase low-grade wood that had been destined for a Glens Falls mill, Finch Paper, before it suddenly discontinued its pulpwood operation in July. Typically, per a condition in its permitting, Ryegate’s wood comes from harvests that are initially reviewed by Vermont Department of Fish and Wildlife biologists. “A temporary waiver of [Ryegate’s] harvesting policy requirements would allow wood that was intended for Finch to be sold to the Ryegate Power Station without otherwise required Department of Fish and Wildlife review and approval,” the Vermont Public Utilities Commission (PUC) order stated. According to testimony provided to the PUC, Finch purchased approximately 2,000 tons per week of softwood and hardwood from Vermont. It was the primary market for about 40% of the state’s pulp and nearly all its hemlock pulpwood.
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