Ken Kalesnikoff
Frédéric Verreault
OTTAWA, ON – The Honourable Tim Hodgson, Minister of Energy and Natural Resources statement on the conclusion of the Canadian Forest Sector Transformation Task Force’s mandate: “Canada’s forest sector is a cornerstone of our economy … we are working to ensure Canadian customers benefit from Canadian forest products and Canadian forest products benefits from Canadian customers… Abroad, we are diversifying trading partners and opening new markets for Canadian forest products. This is why we established the Canadian Forest Sector Transformation Task Force to identify practical measures to transform and retool our industry, including to support our home-building ambitions; support product and trade diversification; and improve the long-term competitiveness of Canada’s forest sector. Today, I am pleased to have received the Task Force’s final report and recommendations [and] sincerely thank the two Co–Chairs, Ken Kalesnikoff and Frédéric Verreault, for their strong leadership, as well as all Task Force members for their dedication, expertise and hard work.
Canadian softwood producers have now paid more than US$8-billion in US duties since 2017, as BC’s Forests Minister seeks to keep lumber on Ottawa’s radar to resolve the trade dispute. The issue of Canadian softwood shipments into the US is not directly addressed by the United States-Mexico-Canada Agreement. …About US$2-billion in interest has gradually piled up over the past nine years, bringing the value of duties paid plus interest to more than US$10-billion. …Last week, the US said it plans to decrease duties for Canadian softwood. …The revised anti-dumping and countervailing duties equal 24.83%, and when combined with the tariffs, the levies would total 34.83%. …Canfor would see its total levies decline to 31.02%, down from the current 47.59%. West Fraser’s duties would decrease to 20.70%, compared with the current 26.47%. The duty rate for Resolute FP, a subsidiary of Domtar, would drop to 24.95% from the current 35.16%. [to access the full story a Globe & Mail subscription is required]
TORONTO – Worried about wildfires sending claims soaring this year, Canada’s property and casualty insurers are pushing owners to flood- and fire-proof homes and urging the government to take climate issues more seriously despite economic turmoil. Insurers Intact Financial, TD Insurance, Wawanesa and Definity Financial face financial pressure as claims surge and in turn push up home-insurance premiums, which rose about 6% last year in Canada. They worry Prime Minister Mark Carney’s prioritization of energy and the economy over risks from climate change could contribute to more wildfire- and flood-related damage over time. Canada has seen record wildfire and flood damage in recent years. But calamity-prone regions are still insurable in Canada, unlike in some other countries where companies will not insure houses for wildfires. This year is expected to be among the hottest years on record.
OTTAWA — The Canada Border Services Agency has launched a probe to determine if plywood is being subsidized or sold at unfair prices in Canada. A news release from the agency says the investigation began on April 10 and focuses on imports from producers operating in or exporting from China. It says the practices can harm Canadian industries by undercutting Canadian prices and undermining fair competition. The investigation comes after a complaint was filed by Columbia Forest Products and the Canadian Hardwood Plywood and Veneer Association, which say they’ve faced lost sales, poor financial results and reduced employment. The CBSA and the Canadian International Trade Tribunal are both involved in investigations of Chinese plywood. The tribunal will issue its decision by June 9, while the CBSA’s probe into unfair prices will reach a preliminary decision by July 9.
SALMON ARM, British Columbia — Forsite Consultants Ltd. today announced the launch of 
Mercer International’s bonds slumped after it sought to ditch rules requiring equal treatment for all creditors — a move that would give the struggling pulp producer the power to pick and choose which lenders to favor in a restructuring. The company asked owners of its bonds due in 2028 and 2029 to remove a provision that forces it to pay all lenders equally when it seeks to strike a debt deal, according to people familiar with the matter who asked not to be identified discussing private information. Separately, a group of Mercer’s creditors has organized in anticipation of debt talks with the company and plans to sign a cooperation pact binding them to act together. …Mercer is grappling with weak earnings and dwindling cash flow that’s left it struggling under the weight of its debt, which stood at about $1.6 billion at the end of last year. S&P Global Ratings downgraded the firm to CCC+ in February.
North Vancouver, B.C. — Seaspan Marine announced an agreement with Hodder Tugboat Co. Ltd. to sell its legacy chip and hog fuel barge division, and remaining forestry industry transportation assets, subject to closing conditions. The transaction, which is described as a “turnkey,” is inclusive of the workforce, existing services and related assets, like coastal tugs, river tugs and barges, and associated maintenance facilities — customers who rely on this vital service remain unaffected. Hodder is an established marine towing company based in Richmond with a longstanding focus on the forest industry, including the transportation of logs, timber and related forestry products. The sale aligns with the expert skillsets of the existing Seaspan team and assets in operation. The acquisition of Seaspan’s chip and hog barge division is a natural extension of that expertise, reinforcing Hodder’s commitment to service for its coastal clients.
From fibre performance to global demand, three speakers at International Pulp Week offer a compelling view of the forces shaping today’s pulp sector. Finland’s Ismo Nousiainen and Aki Temmes bring deep, mill level expertise in softwood performance and fibre strategy, while Canada’s Mathieu Wener connects those decisions to evolving global markets and economic trends. Together, their sessions trace a clear arc, from how fibre characteristics influence tissue quality and energy efficiency, to how papermakers are optimizing furnishes under cost and supply pressures, and ultimately to how demand is shifting across tissue, paper, and specialty grades. It also reflects the conference’s international reach, bringing together global leaders to address shared challenges in a sector increasingly shaped by interconnected markets, trade dynamics, and long term structural change.
VANCOUVER — Ottawa must make a case of “mutual benefit” with the United States as it advocates for Canada’s softwood lumber industry during trade negotiations, BC Premier David Eby said Friday… “the US cannot produce enough wood to meet its domestic demand.” …The premier’s remarks came after the U.S. Department of Commerce posted its preliminary tariff determination for the sector, with total duties estimated at just short of 25%, lower than the current rate of more than 35%. …COFI’s Kim Haakstad, agreed with the premier, saying it’s important for B.C. to ensure softwood lumber doesn’t “get lost” among other industries based in Eastern Canada. …The Independent Wood Processors Association said the US ruling was “further evidence” the softwood lumber dispute mechanism has become a “broken process”. The BC Lumber Trade Council said Canadian lumber producers continue to face “unjustified and punitive trade measures.” BC Forests Minister Ravi Parmar said the province was disappointed.
Abbotsford, BC — Mirax Group, a privately held, family-owned British Columbia company with deep roots in forestry, lumber manufacturing, value-added wood products, and diversified industrial operations, has acquired the former Errington Cedar Sawmill in Errington, BC. This strategic acquisition reinforces Mirax Group’s commitment to investing in the sustainable growth of British Columbia’s forestry sector, preserving local jobs, and enhancing supply chain resilience for cedar and softwood products destined for global markets. The Errington Cedar Sawmill, long recognized for its legacy in processing premium cedar products for domestic and international customers — faced closure in recent years following industry challenges. With the transaction now complete, Mirax Group will operate the facility as the Vancoast Sawmill division, and position the site as a cornerstone in its expanding coastal operations. …The company also plans to evaluate investments in modernized milling technology and value-added processing to enhance product diversity and competitiveness.
The Canadian District Supervisor position is a unique and highly sought after opportunity for those intimately involved in the quality control of lumber or manufactured wood products. PLIB’s District Supervisors are responsible for evaluating the quality of lumber, glulam, and wood packaging products. Our inspectors influence a wide range of important issues that impact the wood products industry through participation in the development of quality standards and educating mill personnel. PLIB’s Canadian Division serves a variety of producers across Western Canada. This position requires fully reimbursed travel. Interested candidates that meet the qualification criteria are encouraged to visit the PLIB website for a complete job description and application process.
North Vancouver – The Independent Wood Processors Association (IWPA) says today’s preliminary U.S. softwood lumber duty ruling under Administrative Review 7 (AR7) is further evidence that the softwood lumber dispute has become a broken process that continues to punish businesses and consumers on both sides of the border without bringing either side closer to resolution. The U.S. Department of Commerce has posted a preliminary tariff determination expected to be finalized in August. The preliminary combined duty rate includes a countervailing duty (CVD) of 14.17 per cent and an anti-dumping duty (AD) of 10.66 per cent, for a total combined rate of 24.83 per cent. The current duty rate of 35.16 per cent will remain in effect until a final determination is issued. …The Independent Wood Processors Association says the ongoing dispute continues to unfairly harm companies that should never have been included in the first place. … “This ongoing cycle is creating uncertainty for businesses, workers, and consumers across North America and highlights the urgent need for a negotiated solution,” said Andy Rielly, Chair of the IWPA.
Ravi Parmar, Minister of Forests, issued the following statement in response to the US Department of Commerce’s release of preliminary results of the seventh administrative review of its anti-dumping and countervailing duty orders on Canadian softwood lumber: “BC stands with all those across Canada in our disappointment that the US has signalled that it will continue to impose unwarranted and unfair duties on Canadian softwood lumber products. “These duties serve only to damage both of our economies by harming BC and Canadian communities, and increasing the cost of housing and renovations for American families. “Duties on Canadian softwood lumber needlessly favour offshore imports that endanger North American jobs across the supply chain. Workers in BC, in Canada and in the US are worse off from duties on softwood lumber.
Kenora, Ont. – The United Steelworkers (USW) are proud to welcome 147 new members following a strong organizing victory at Weyerhaeuser in Kenora, Ont. Workers voted overwhelmingly in favour of joining the union with 97% support. This is a clear demonstration of their desire for a stronger voice at work and a more secure future. “This result speaks volumes,” said Kevon Stewart, USW District 6 Director. “Workers at Weyerhaeuser came together with shared goals – to improve their working conditions, strengthen their rights and build a better future. We are proud to stand with them as they begin this next chapter.” The organizing campaign was driven by workers coming together and building support across the workplace. …This victory reflects a growing trend of workers across the forestry sector choosing to unionize and strengthen their collective voice on the job.
TORONTO — Kevin Holland, Associate Minister of Forestry and Forest Products; Mike Harris, Minister of Natural Resources; and Vic Fedeli, Minister of Economic Development, Job Creation and Trade, issued a statement in response to a preliminary indication from the US which suggests that softwood lumber duties may decrease from the current rate of approximately 35% later this year: “Ontario’s forest sector has a global reputation as a leader in the G7 in the production of high-quality wood and wood products. …While this preliminary indication suggests some relief for softwood lumber producers later this year, Ontario remains firm that duties are unwarranted and not supported by the evidence. We continue to call for the full removal of all duties that raise costs for both American and Canadian families. These ongoing duties and tariffs reduce productivity, disrupt supply chains, drive up the cost of construction and make housing less affordable.”
When it comes to the future of the forest industry in Newfoundland and Labrador, the struggling newsprint mill in Corner Brook usually steals all the headlines. But some key players in the lumber manufacturing business say they’re framing up a solid future. And they have very different opinions when it comes to Kruger-owned Corner Brook Pulp and Paper, and that company’s $700-million strategy to modernize its paper making operations, and become a long-term electricity provider to the provincial power grid. “We’re confident in [Kruger’s] plans … for the future, and we’re confident in the direction the forest industry is going to take in Newfoundland,” says Kyle Osmond, operations manager at the family-owned Burton’s Cove Lumber and Logging mill in Hampden, White Bay. …So as the forest industry navigates yet another crucial period in its long history, the often-overshadowed sawmill sector is keen to emerge from the shadows, but their business approach is markedly different.
BRUSSELS — The European Union’s trade surplus with the rest of the world shrank by 60 per cent in February as exports to the United States dropped by more than a quarter, with U.S. import tariffs of 15 per cent largely in place on EU goods. EU exports as a whole were 9.3 per cent lower in February than a year earlier, while imports were down 3.5 per cent, EU statistics office Eurostat said on Friday. The largest export decline was towards the U.S., with a drop of 26.4 per cent, while imports from the United States were 3.2 per cent lower. EU exports to China were also down. A year ago, EU exporters had begun front-loading shipments to the U.S. in anticipation of U.S. President Donald Trump’s tariffs, inflating the export figures for early 2025 and potentially explaining February’s sharp decline. Exports to the United States in February 2025 rose by 22.4 per cent year-on-year.
The U.S. Endowment for Forestry and Communities today announced a $5 million funding opportunity to connect underutilized wood fiber with new buyers, strengthen regional supply chains and keep working forests economically viable. This effort will invest up to $1 million per year over five years in organizations that can develop durable market solutions, helping keep working forests productive and rural economies strong, especially in regions facing reduced processing capacity and shifting market conditions. An additional $500,000 is available for projects in Maine, New Hampshire, New York and Vermont through a partnership with the Northern Border Regional Commission’s Forest Economy Initiative. When local wood markets weaken, the impact ripples across entire communities, affecting landowners, loggers, hauling businesses and manufacturers. Without reliable markets, it becomes harder to keep forests actively managed and economically viable. The Endowment expects to select three to five organizations by June 2026 for five-year agreements focused on practical market-building work.
Rising tensions between the United States and Iran are creating mounting challenges for recycled paper mills across the Gulf region, known as the GCC. The sector is heavily dependent on imported recovered paper, particularly OCC (old corrugated containers) and mixed waste paper from Europe, the United States and Asia. Geopolitical instability has led to higher freight costs, increased insurance premiums and growing uncertainty in supply chains. Although local waste paper collection remains relatively stable, the unpredictability of imports has made procurement strategies more complex. Delays and disruptions in shipments risk directly affecting production. At the same time, the cost of key inputs is rising. Prices for chemicals, starch and spare parts are increasing due to logistical bottlenecks and delayed deliveries. …Despite these pressures, the market outlook in the Middle East remains relatively stable in the short term. …However, prolonged geopolitical uncertainty could gradually dampen industrial activity and consumption.
DOHA, Qatar — Until the Iran war, shipments of Austrian spruce timber to Qatar, where the wood is used to support concrete and make basic frames on construction sites, were a matter of routine. The standard 2×4 was typically sourced from Austria, shipped to Dubai’s Jebel Ali port, transferred to a feeder vessel and delivered to Qatar’s Hamad Port in about 45 days. It must now be offloaded, trucked overland and reloaded onto new ships, adding thousands of dollars in costs and months to delivery times. …The detour added a surcharge of about $3,600 per container – some shippers quoted the supplier surcharges as high as $5,000 per container – more than triple the normal cost of shipping…and delivery is expected to take another one to two months. …Several containers of plywood spent weeks at sea before being returned to port, underscoring how importers lose control over shipments once they are on the water.
Russia’s forest industry warns that up to 50% of companies could shut by the end of 2026 as lower export prices, higher transport costs and a strong ruble push producers deeper into losses. Regional lawmakers and industry participants ask First Deputy Prime Minister Denis Manturov to approve a three-year moratorium on creditor-initiated bankruptcy cases in the sector, along with tax deferrals and a pause on debt collection for liabilities accumulated by January 1, 2026, Russian Kommersant newspaper reports, citing a committee of the Arkhangelsk regional assembly. The draft says even large companies in the region have exhausted their financial reserves, are operating at a loss and are starting to miss tax and other mandatory payments. It puts total sector losses over the past three years at more than 15 billion rubles. State support for exporters also drops sharply, with compensation for forest export costs falling from 7.6 billion rubles in 2023 to 550 million in 2026.