As Congress returns to Washington, the National Lumber and Building Material Dealers Association (NLBMDA) is urging congressional leaders and the Administration to address growing cost and supply pressures stemming from recently implemented Section 338 tariffs on Canadian building materials. In a letter sent Monday to Mike Johnson, Hakeem Jeffries, John Thune and Chuck Schumer, NLBMDA urged for targeted relief for essential building materials where domestic production is insufficient to meet US demand. NLBMDA also called for greater stability and predictability in the US-Canada trade relationship, citing the highly integrated nature of the North American building materials supply chain. …In a recent member survey, 80% of respondents reported sourcing or availability impacts, while nearly 87% reported higher supplier prices. Dealers also cited reduced shipments from Canadian suppliers, longer lead times and difficulty identifying domestic alternatives that can readily meet demand. …NLBMDA also highlighted the broader uncertainty created by sudden changes in tariff policy.

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.
The first Monday in September has been an official holiday in Canada since 1894, and in the United States since 1892. But the origin of Labour Day came 20 years before that, when unions started holding parades and rallies in Toronto and Ottawa to celebrate the successful 1872 Toronto printers’ strike – that won the decriminalization of unions in Canada. …the origins of Labour Day come from the struggles of working people and the demand for fairness. In this case, it was the movement to establish a 9-hour work day (the standard was a 12-hour work day and a 6-day work week) and a strike by printers in Toronto in the spring of 1872 to get it. …In 1882, an American labour leader witnessed the annual May “labour day” festivities in Toronto which inspired him to organize the first American “labor day” on September 5 that same year. …In Canada, pressure had been mounting to declare a national labour holiday. On July 23, 1894 the government of Prime Minister John Thompson passed a law making Labour Day official.
Unions and labour activists from across Canada, Mexico and the United States are united in their demand that stronger protections for workers’ rights must be included in any new trade deal negotiated between the governments. Multinational corporations continue to pit workers against each other in a race to the bottom across the three countries. Pro-employer protection unions remain prevalent in Mexico, obstructing the ability of workers to organize and collectively improve their conditions. The rights of workers to freely form unions and negotiate with their employers continue to be routinely violated, despite the provisions of the Labour Chapter of the Canada-United States- Mexico Agreement (CUSMA). …On behalf of workers across Canada, Mexico and the United States, we call on our governments to ensure that trade in North America raises standards for employment and working conditions in all three countries.
The complete index of American products subject to Canadian retaliatory tariffs on September 8 include more than 600 different entries. Searching for patterns can drive you to madness. Butterfly nets will be hit with a 50 percent tariff. So will eye make-up preparations and fish egg incubators. …When asked about the decision-making process, industry minister Mélanie Joly said some goods are meant to hurt Trump-supporting states, though she declined to say which. …States with Republican senators, such as Maine, Ohio, Michigan, Iowa, and Texas, all have substantive trade relationships with Canada—and are considered possible battleground states. Some experts are calling the issue “a political trap for Republicans,” with Democrats already seizing on the matter as a talking point. Here’s a look at some of the red states vulnerable to Canada’s new round of tariffs and the industries that may feel the most hardship.




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.

CHAPLEAU — The Ontario government is building a strong and self-reliant economy by investing over $17.3 million in four projects that will modernize forest sector manufacturing, enhance the industry’s competitive advantage and strengthen forestry supply chains by using more mill by‑products and underused wood known as forest biomass. …This funding is part of the government’s plan to protect Ontario forestry workers in the face of recent U.S. tariff attacks by building a more resilient, innovative and diversified forest sector, ready to compete in global markets. …The Forest Sector Investment and Innovation Program and Forest Biomass Program investments will support four projects advancing the
A new chapter in the effort to better manage water around Western Forest Products’ Saltair sawmill is taking shape. The company is creating a new runoff filtering system designed to collect and control surface water from the mill and surrounding area before it can make its way beyond the site into Ladysmith Harbour. The rainwater and stormwater runoff interacting with fine woody materials and galvanized mill infrastructure will shortly all be directed into an almost natural setting. “We want to make sure all the rainwater runoff from our site is filtered and it’s going into the ocean clean,” said Tyler Fraser, production superintendent at the mill. “Prior to this project all the surface water went into the storm drains, which would then lead to an oil-water separator before the harbour.” …“We have an established constructed wetland up at Beaver Cove in Telegraph Cove that has worked perfectly,” said Ben Matthews, mill environmental regulatory manager for WFP.
Prince George city council voted to send a letter to the federal jobs minister asking her to extend temporary employment insurance program for forestry workers in response to the impending closure of Northwood Pulp Mill at its Monday, Aug. 31 meeting. A report written by intergovernmental relations senior advisor Annie Doran and submitted by Coun. Garth Frizzell in his role as chair of the Standing Committee on Intergovernmental Affairs said that in the wake of the ongoing U.S.-Canada trade war, the federal government instituted several temporary measures, including: Waiving the waiting period for all new claims; Suspending the allocation of separation earnings like vacation pay, severance pay and more; and Increasing the number of weeks that long-tenured workers can received benefits to a maximum of 20. These benefits were implemented on March 30, 2025 and are expected to end on Oct. 10, 2026.
Nanaimo is bracing for the impacts the implementation of the 50% tariffs on billions of dollars in Canadian goods that came into effect on Aug. 22 will have on the local business community. Julie Sperber, the new CEO of the Greater Nanaimo Chamber of Commerce said… it’s clear that many of the region’s forest companies are going to take a big hit. …“Companies like the Harmac Pacific pulp mill won’t be affected as much because much of their products go to Asia, but Coastland Wood Industries are feeling the impacts of US tariffs for the first time.” Secondary-wood products like veneer sheets have been explicitly targeted for the first time. Doug Pauze, president of Coastland, said the company has scaled back production. …Sperber said officials from Western Forest Products and Mosaic Forest Management have planned meetings with government members in Victoria to discuss strategies to deal with the tariffs.

The Member of Parliament for Cowichan-Malahat-Langford is calling on the federal government to explore how it could potentially use the Crofton mill. MP Jeff Kibble is floating the idea of it being used by the Department of National Defense. …On Friday, crews were loading logs onto a ship at its deep sea port. It’s one of the key assets of the property that has the region’s MP calling on Ottawa to consider the property’s purchase. “What I recommended is that the government immediately conduct a feasibility study to see if this is an opportunity to expand the base at Esquimalt. We know that the opportunity to have a deep water industrial site is rare and we also know that the navy is expanding rapidly,” said Kibble. Kibble served in the Royal Canadian Navy for 28 years. …When asked about Kibble’s proposal, Domtar said it’s “exploring a variety of possibilities for the future of the site”.





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.


Maine Gov. Janet Mills says tariffs on lumber products have been difficult for the state’s economy to absorb. [CBC video 1.42 min]


The Australian Government has announced a $150 million investment to support forestry industry growth, including funding aimed at transforming wood-product manufacturing and expanding domestic processing capabilities. Announced on 3 September, the funding will be delivered through five streams under the Forestry Growth Fund, with up to $85 million earmarked for large-scale investments in modern wood-product processing, value-adding and facilities designed to significantly transform manufacturing capabilities. A further $30 million will support innovation aimed at improving efficiency and productivity across the forestry supply chain, while up to $15 million will be allocated to workforce development. The government will also provide up to $15 million in additional support for plantation establishment to increase the supply of domestic forest resources for Australia’s manufacturing and construction needs. Another $5 million will fund tools to support compliance with illegal logging laws and reduce the risk of illegally logged or conflict timber entering supply chains.

