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.
Related coverage:
- Government of Canada: Statement by Prime Minister Carney on Canada-US trade
- Business in Vancouver by Kelly Malone: Trump signs order pushing tariffs on Canada to 35%
BURNABY, BC – The United Steelworkers union (USW) District 3 and the USW Wood Council are calling on the federal government to take urgent action in response to the latest escalation in the softwood lumber trade dispute. …“This latest increase, along with other threatened tariffs, is yet another blow to workers, communities and the long-term sustainability of our industry,” said Scott Lunny, USW Western Canada Director. “We represent thousands of loggers and mill workers… and their families, are at risk – governments need to act now.” …“It’s a constant attack on our industry and our workforce from the US administration. ….In addition to calling for a deal on softwood lumber to be a priority for Canada in trade talks with the US. …“These duties are unfair and will only drive up housing costs for U.S. consumers, while putting thousands of Canadian jobs at risk,” said Jeff Bromley, USW Wood Council Chair.
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.
BURNABY, B.C. – The United Steelworkers union (USW) District 3 and the USW Wood Council are calling on the federal government to take urgent action in response to the latest escalation in the softwood lumber trade dispute. Following the U.S. Department of Commerce’s decision to increase anti-dumping duties on Canadian softwood lumber exports to 20.56%, the USW is demanding immediate support for forestry workers and communities across the country. …“Our prime minister says softwood lumber is a priority in trade talks, but what forest workers need now is action,” said Scott Lunny, USW Western Canada Director. …In addition the USW is calling for a comprehensive support package for forest workers, including wage subsidies, loan guarantees for affected businesses and other targeted resources to support provinces, regional and local communities to sustain critical infrastructure and services through this unprecedented uncertainty.
In British Columbia’s forestry sector, logging and trucking businesses are beginning to take a closer look at how they manage and report fuel use. While the Motor Fuel tax rules themselves haven’t changed, recent enforcement has prompted many operators to reassess long-standing practices — particularly when it comes to using coloured fuel in mixed on- and off-highway operations. For businesses that rely on marked fuel in remote areas or cross between forest roads and public highways, assessments are surfacing more frequently and creating uncertainty around compliance. If you’ve received a notice — or aren’t sure whether your operations could be affected — there are steps you can take to reduce the impact and protect your business. …Increased enforcement of the B.C. Motor Fuel Tax rules has created a layer of complexity that many forestry businesses weren’t prepared for. …the consequences of misunderstanding the rules, especially around fuel eligibility, have become more serious.
Campbell River Mayor Kermit Dahl sent an open letter to Premier David Eby, calling for immediate action to address issues within B.C.’s coastal forestry sector. Dahl warns continued inaction could result in further mill closures, job losses and the collapse of the coastal forestry industry. According to Dahl, coastal harvest volumes have dropped by over 40 per cent since 2019, with more than 5,400 direct forestry jobs lost since 2022. The 2025–26 budget projects a harvest of 32 million cubic metres … an estimated $275 million in lost revenue. The mayor says Premier Eby pledged to “protect jobs and the economy” when reshuffling his cabinet and says “those words ring hollow for thousands of coastal forestry workers watching their industry collapse—… from policy paralysis and regulatory misfires.” Dahl argues the crisis is not caused by … internal delay. “When harvest approvals that once took six months now take two years or more, that’s not a tariff issue—it’s a made-in-B.C. problem,” Dahl says.
VICTORIA — The Council of Forest Industries wrote a letter to the New Democrats earlier this month, outlining more than a dozen proposals to rescue a struggling industry. “B.C.’s forest industry is in crisis,” wrote COFI President Kim Haakstad in the July 14 letter to Forests Minister Ravi Parmar. “Fibre availability is at historic lows, permitting systems are gridlocked, and investment is retreating in the face of prolonged uncertainty. The risk is not gradual decline — but accelerated facility closures, job losses, and the permanent erosion of forest industry capacity.” Haakstad was responding to Premier David Eby’s announcement of a “major project” to restore the industry in a speech to this year’s COFI’s convention. …I asked the government last week for a response to the proposals set out in the COFI letter. I got back a general statement from Parmar, which pretty much brushed aside the notion of a crisis in the industry.
A new report warns the impacts on B.C. 
BC’s forestry sector would have been brought to its knees Friday by new American duties on Canadian softwood lumber, if it wasn’t already flat on its back from being hammered by years of provincial government policies. …But even before the new duties, B.C.’s forestry sector was in a crisis. Annual harvest volumes are down by tens of millions of cubic metres, lumber production and exports have shrunk dramatically, export revenues have fallen, thousands of jobs have been lost, and dozens of mills have been curtailed or shuttered. The industry has blamed various BC NDP policies, including new old-growth logging deferrals… and extraordinarily long permitting delays. …If New Democrats are serious about saving the industry from ruin, now would seem to be the time to shelve the never-ending reviews and actually do something. The government could spin a pivot to pro-forestry policies not as a retreat, but as a made-in-BC response to American trade aggression.
Mushkegowuk-James Bay MPP Guy Bourgouin is calling on the province to take immediate action to protect Ontario’s forestry sector in the wake of new U.S. tariffs on Canadian lumber. Bourgouin said the impact of the tariffs imposed by U.S. president Donald Trump could be devastating for northern communities that depend on the industry. “The anti-dumping tariffs imposed by Trump will devastate our lumber industry. Condemning Trump’s actions isn’t enough. We saw it with the auto sector, with steel, and now with lumber — the Premier’s ‘wait and see’ approach is leaving thousands of workers vulnerable to layoffs.” Bourgouin criticized the Ford government for failing to present a concrete strategy, calling their approach “an afterthought” for northern Ontario’s economy. …Ontario NDP party argues that using Ontario-produced wood could tackle multiple challenges at once, safeguarding forestry jobs, boosting local economies, and addressing the province’s housing shortage with “made-in-Ontario” solutions.
Members of the forest industry and the provincial government weighed in Monday on the Trump administration’s decision to raise tariffs on Canadian softwood lumber. Last week, the U.S. Commerce Department decided to raise anti-dumping duties on Canadian softwood to 20.56 per cent. A news release stated the province’s forest industry is “deeply troubled” by the decision to increase the duties by over 14 per cent. “Increasing anti-dumping duties to 20.56 per cent from the current average rate of 7.66 per cent is unjustified,” read the statement. “New Brunswick’s softwood lumber producers already face punitive and unfair anti-dumping and countervailing duties.” According to the statement, when combined with an anticipated rise in countervailing duties, the new increase to anti-dumping duties will mean an expected new total of 34 per cent by the middle of August.
A cornerstone industry of northwestern Ontario is at risk, says a regional municipal group, with the decision by the U.S. Department of Commerce to raise anti-dumping duties on Canadian softwood lumber to 20.56 per cent. “Forestry is the economic lifeblood of communities across northwestern Ontario,” said Rick Dumas, president of the Northwestern Ontario Municipal Association (NOMA), in a July 28 statement. “This unjustified and protectionist action will have a direct and harmful impact on workers, families, Indigenous communities, and local economies throughout our region.” The provincial government called the U.S. commerce department’s decision to increase duties on Canadian softwood lumber exports an “unjust burden” on American consumers that will raise construction costs in the U.S., make homes less affordable, and negatively impact economic growth on both sides of the border. “We remain firm in our position that these duties should be lifted entirely, for the benefit of workers and families on both sides of the border.”
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.
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 
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.” 
The Maine State Chamber of Commerce has been following the Trump administration’s actions on tariffs since the start of the year, said President and Chief Executive Officer Patrick Woodcock. …Woodcock said Monday that some individual companies and industries are already seeing a “dramatic impact.” For example, he said lumber product prices have increased. … In Maine, “our forest products industry is the one that is most affected with these specific industry, sector-level tariffs,” Woodcock said. The state imports 2.3 million tons of wood products annually, most of which comes from Canada, according to a Maine Forest Service 
