Daily News for July 08, 2026

Today’s Takeaway

Trade uncertainty has Canadian manufacturers considering moving production to the U.S.

The Tree Frog Forestry News
July 8, 2026
Category: Today's Takeaway

Trade uncertainty has 4 in 10 Canadian manufacturers considering moving production to the US, according to KPMG. In related news: Canada says there’s no basis for US forced-labour tariffs; FPAC wants Ottawa to act on the Transformation Task Force recommendations; and the US Lumber Coalition says US sawmills are expanding despite low housing starts. Meanwhile: Ontario supports Daiken’s wood panel plant in Huntsville; Newfoundland extends power agreement with Corner Brook Pulp and Paper; Hood Industries is closing its Mississippi plywood mill; US senators call for hardwood lumber to be included in China trade framework; and Washington state seeks reimbursement for chemical spill response.

In Forestry news: Vanderhoof and Saik’uz First Nation call for changes to BC forestry; Unifor has a new vision for Quebec forests; McGill researchers say aspen stands can help reduce wildfire severity; and US forest researchers stay focused despite federal upheaval. On the Wildfire front: the Trans-Canada Highway was closed through BC’s Fraser Canyon; 7 new fires were reported in northeastern Ontario; and firefighters battled blazes in Colorado, Utah and Idaho.

Finally, FEA highlights keynote speaker ahead September Forest Products Forum.

Kelly McCloskey, Tree Frog News Editor

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Business & Politics

‘Canada respectfully submits that there is no basis,’ government says of Trump’s slavery-related tariffs

The Canadian Press in Bloomberg
July 8, 2026
Category: Business & Politics
Region: Canada, United States

WASHINGTON — The Canadian government told the Trump administration new legislation combating forced labour in supply chains should shield Canada from new tariffs. In a written submission the Government of Canada said it “remains committed to working closely with the US to eradicate forced labour from global supply chains.” …Ottawa’s case was among more than 1,500 written submissions ahead of a hearing in Washington this week on the use of Section 301 of the Trade Act of 1974 to rebuild his global tariff wall. US Trade Representative Jamieson Greer launched a trade investigations into 60 countries, including Canada. Greer said Canada, Mexico, the UK and some other countries should be hit with 10% duties because they are not doing enough to enforce bans on forced labour. …Canada already had legislation intended to curb forced labour in supply chains. But the federal government tabled a bill last month to boost enforcement.

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Four in 10 Canadian manufacturers eye U.S. production move

KPMG
July 7, 2026
Category: Business & Politics
Region: Canada, United States

One year after manufacturers warned that U.S. tariffs posed an existential threat to their businesses, a new KPMG survey finds four in 10 manufacturers have moved production to the U.S. or are considering doing so as they adapt to ongoing trade uncertainty and mounting competitive pressures. The survey of 275 manufacturers finds that 57 per cent say they have paused, reduced or cancelled capital expenditure projects due to economic uncertainty and trade and tariff threats, while 42 per cent have scaled back or paused research and development spending. More than half (52 per cent) say they are currently operating in “endurance mode.” The findings come as discussions surrounding the Canada-United States-Mexico Agreement (CUSMA) intensify. Government action on overall competitiveness, taxation, regulations and trade will play a critical role in determining whether future manufacturing investment stays in Canada, says Anamika Gadia, Partner and National Leader of Industrial Markets at KPMG Canada. The survey suggests manufacturers are not abandoning Canada, but many are becoming increasingly cautious about placing future investment in Canada.

Additional coverage in the Globe and Mail by Daniel Johnson: More than 40% of Canadian manufacturers weighing move to U.S., KPMG poll finds

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Keep Canada’s Forest Sector Working

Forest Products Association of Canada
July 7, 2026
Category: Business & Politics
Region: Canada

Canada’s Forest Products sector is one of our country’s economic anchors, an industry that supports close to 200,000 jobs in communities across the country and accounted for $19.9B in real GDP in 2025.  At a time when Canada is facing massive shared challenges — from intensifying wildfires to the need for affordable housing — we cannot afford to let this industry decline. The federal government has already recognized the challenge — a 45% tariff in the US and supply chain bottlenecks and regulatory duplication here at home. And with the recent Forest Sector Transformation Task Force Report, they’ve acknowledged the solution. Now we need them to act. We are not asking for new promises or new frameworks. We’re simply asking government to implement the commitments that are already on the table. And we’re asking you to help us get there. Email the Minister For Natural Resources and your Member of Parliament today! Let them know that by implementing the recommendations from the Task Force Report, they’re protecting one of the key sectors that underpin our entire economy.

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U.S. Sawmill Operators Continue Investments to Further Increase Production Capacity Despite Declining Home Starts by U.S. Homebuilders

By Zoltan van Heyningen
The US Lumber Coalition
July 7, 2026
Category: Business & Politics
Region: Canada, United States

Despite a dramatic decline in housing starts since 2022 that worsened in 2024 due to the under-construction of new affordable housing by members of the NAHB, the US softwood lumber industry has continued to make investments to boost the domestic production.  Since 2016, U.S. softwood lumber mills have added 8.7 bbf of production capacity. This commitment to American production has resulted in a level of lumber supply self-sufficiency not seen since the 1970s, with U.S. sawmills now supplying nearly 75% of the US market.  Meanwhile, Canadian production capacity has declined… to below 19% this year.  Non-Canadian imports  are also trending downward. …“The US industry has been winning back market share from unfairly traded Canadian imports while increasing the total supply of lumber to U.S. market thanks to President Trump and his Administration,” stated Zoltan van Heyningen. …“The National Association of Homebuilders should stop its misguided advocacy for the importation of unfairly traded Canadian lumber. 

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5 researchers at University of Northern British Columbia receive $866k

By Yashvika Grover
Penticton Western News
July 8, 2026
Category: Business & Politics
Region: Canada West

Researchers at the University of Northern British Columbia (UNBC) have received a grant to conduct studies on earthquake-resilient buildings, food packaging, forest diversity and more. The $866,000 granted to five faculty members is being supported through the Natural Sciences and Engineering Research Council of Canada (NSERC) Discovery grant program. …Erin Crockett, ecosystem science and management assistant professor, is receiving $202,000 over the five years to examine “how tree species diversity and structural complexity influence forest growth and resilience in British Columbia.” …Fei Tong, assistant engineering professor, is receiving $190,000 over five years to develop “a new structural system for tall buildings in seismically active regions like Vancouver… The approach, which will be adapted for both conventional construction and tall mass timber buildings, aims to keep buildings safe, functional, and repairable after major earthquakes.”

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Ontario Investing $425,000 to Protect Forestry Workers in Huntsville

By Natural Resources
Government of Ontario
July 7, 2026
Category: Business & Politics
Region: Canada East

HUNTSVILLE, Ontario — The Ontario government is investing an additional $425,000 through the Forest Biomass Program to help Daiken North America accelerate production of its new laminated board. This investment will help get a first-of-its-kind wood panel product to market faster, boosting productivity and protecting good-paying local jobs. As part of its plan to protect Ontario, the government is making strategic investments to help forest sector businesses adapt, compete and grow to stay resilient in the face of U.S. tariffs. Today’s announcement builds on the government’s recent investment of $10 million to support Daiken’s $70 million plan to upgrade its laminated board production line at its manufacturing facility in Huntsville. The facility is set to begin manufacturing this summer, creating 10 new good-paying jobs and protecting 128 existing positions.

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Newfoundland and Labrador Hydro Extends Power Purchase Agreement with Corner Brook Pulp and Paper

By Finance; Forestry, Agriculture and Lands; and Energy and Mines
Government of Newfoundland and Labrador
July 7, 2026
Category: Business & Politics
Region: Canada East

Newfoundland and Labrador Hydro has extended its interim power purchase agreement with Corner Brook Pulp and Paper Limited for one year, which began on July 1, 2026, and ends on June 30, 2027. This agreement provides the Provincial Government an opportunity to review and consider Kruger’s proposed approach to diversification at Corner Brook Pulp and Paper. Newfoundland and Labrador Hydro will buy up to 280,000 megawatt hours of power at $187 per megawatt hour. Newfoundland and Labrador Hydro can use Corner Brook Pulp and Paper’s power supply when needed. This will not increase electricity rates for customers. Corner Brook Pulp and Paper is a long-standing employer in rural Newfoundland and Labrador and a key part of the forestry industry. 

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Lawsuit looks to stop U.S. Forest Service restructure that would move headquarters to Salt Lake City

By Abigail Jones
ABC News 4
July 7, 2026
Category: Business & Politics
Region: United States

SALT LAKE CITY — A group of unions, environmental and civic organizations, and local governments has filed a lawsuit challenging the planned restructuring of the U.S. Forest Service, which includes moving the agency’s headquarters to Salt Lake City and closing regional offices and research facilities. The plaintiffs are alleging that the reorganization would impair the Forest Service’s ability to manage national forests, and they are seeking a preliminary injunction to prevent the USDA administration from moving forward with its reorganization plan. …The lawsuit was filed by Democracy Forward on behalf of more than 30 groups, including the American Federation of Government Employees and American Federation of State, County and Municipal Employees, which represent the USDA employees that will be impacted by the reorganization. The lawsuit alleges that restructuring the Forest Service in this way will reduce the agency’s capacity to sustainably manage national forests and engage in fire response and prevention efforts.

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US senators urge inclusion of hardwood lumber in US-China trade framework

Office of Shelley Capito
July 7, 2026
Category: Business & Politics
Region: United States, International

Shelley Moore Capito

US Senators Shelley Moore Capito and Jeanne Shaheen led a bipartisan group of US Senators, in a letter urging US Trade Representative Jamieson Greer to explicitly include American hardwood lumber within the recently established US-China Board of Trade… “ so that domestic lumber manufacturing is not undercut by China. …We believe that if the Board of Trade focuses on hardwood lumber, it can provide much needed economic relief for domestic lumber manufacturers and support communities that depend on a competitive American hardwood industry”. …“We request that USTR: explicitly include American hardwood lumber in the Board of Trade framework; include American hardwood lumber – not logs – in China’s $17 billion procurement commitment; and include enforceable compliance mechanisms with measurable targets specific to hardwood lumber and regularly review hardwood lumber purchases at the Board of Trade to ensure actual purchases are made”.

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Washington state to bill Nippon Dynawave for chemical spill response

By Nick Morgan
The News Tribune
July 7, 2026
Category: Business & Politics
Region: United States, US West

The state will bill Nippon Dynawave for the costs environmental officials incurred responding to the Longview chemical spill, while a federal investigative board plans to release findings sooner than previously estimated. Some 37 days after the site’s white liquor tank collapsed, cleanup crews… removed the remaining chemicals inside. …The state Department of Ecology will issue what’s known as an order for reimbursement to cover the expenses the state made while responding to the spill. The agency is separately investigating whether the company violated any permits with Ecology, state laws or other federal requirements related to water quality, air quality or dangerous wastes. …The U.S. Chemical Safety Board’s investigation is expected to take longer than a state investigation, as the federal agency works to pinpoint exact causes to help the pulp and paper industry avoid future catastrophes. …Washington State is conducting its own investigation to determine whether any worker-safety laws were violated.

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Hood Industries announced the permanent closure of its plywood manufacturing operation in Wiggins, Mississipi

Hood Industries Inc.
July 7, 2026
Category: Business & Politics
Region: United States, US East

WIGGINS, Mississippi – Hood Industries announced the permanent closure of its plywood manufacturing operation in Wiggins, Mississippi, a decision that will affect approximately 260 employees. Facility-wide meetings were held to explain that the decision followed a comprehensive assessment of the extensive damage caused by Tropical Storm Arthur. “After a thorough assessment, we determined that the damage caused by the recent storms, combined with the age of our 56-year-old facility, would require an investment that is not economically feasible. …The Wiggins plywood mill was originally built in 1970 and was acquired by Hood Industries in 1984, becoming the company’s second and largest plywood manufacturing operation. Over the next few days, Hood officials will meet individually with employees to discuss the transition and share information about employment opportunities at other Hood locations. …Operations are expected to conclude by the end of August.

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Finance & Economics

FEA’s Forest Products Forum – Speaker Highlight

FEA – Forest Economic Advisors
July 7, 2026
Category: Finance & Economics
Region: US West

Thomas Mende

The 2026 Forest Products Forum will be held on September 15. Each year, FEA is proud to partner with the World Forestry Center’s signature timberland investing conference, CANOPY: Forests + Markets + Society. Industry-leading analysts from FEA and our guest speakers will provide their assessments of current market conditions in the areas of macroeconomics and housing, lumber, timber, trade, engineered lumber, and wood panels. Speaker Highlight: Thomas Mende, Chief Sales Officer, Binderholz Timber will provide a European perspective on North American markets. He will discuss why European producers are continuing to export to the weak North American market, and how long that is sustainable. What is the outlook for European sawntimber exports to North America over the next 2–5 years? Are supply constraints (bark beetles, regulations, timber availability) changing Europe’s production outlook? Join FEA’s leading analysts and industry experts for insights on macroeconomics, housing, lumber, timber, trade, engineered wood products, and panels. 

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Forestry

North Cowichan closing forestry gates due to wildfire risks

By Adam Chan
Chek News
July 8, 2026
Category: Forestry
Region: Canada West

Starting July 9, the municipality of North Cowichan will be closing forestry gates and restricting vehicle access to Mount Prevost, Mount Sicker and Grace Road, to help reduce wildfire risks in the area. The municipality notes that access roads to Mount Prevost will remain open for firefighting efforts, as a 2.23 hectare wildfire continues to burn on the west side of the mountain.  Access to the areas that have been closed by forestry gates will remain open to visitors using non-motorized means, such as hiking, biking and horseback riding. “Everyone is reminded to be extremely careful with campfires, vehicle exhaust, and other potential fire-causing activities,” said the municipality Tuesday. “Overnight camping, campfires, and fireworks are not permitted in the Municipal Forest Reserve at any time.” It’s unclear when the forestry gates will reopen, but North Cowichan says they are “typically reopened in the fall, once rain has returned and the fire risk is reduced.”

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‘We don’t want wood leaving this community’: Vanderhoof and Saik’uz First Nation call for forestry changes

By Hanna Petersen
CBC News
July 8, 2026
Category: Forestry
Region: Canada, Canada West

Saik’uz First Nation and the District of Vanderhoof are calling for changes to how B.C.’s forests are managed. The two communities held a joint press conference on Tuesday calling for locally-harvested timber to stay in the region and for forests to be managed sustainably. Both Saik’uz First Nation Chief Priscilla Mueller and District of Vanderhoof Mayor Kevin Moutray said the region’s forests and forestry sector are facing a serious crisis. …The Saik’uz First Nation has spent several years developing a long-term land-use plan designed to restore forest health while maintaining a sustainable fibre supply for local mills and forestry workers in the region. “That work tells us that the remaining fibre supply is limited and must be managed carefully if we want healthy forests and a reliable forest economy into the future,” said Mueller. She said provincial forestry decisions continue to authorize harvesting levels that do not reflect the current conditions of the forests.

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An unprecedented coalition lays out a new vision for the future of Quebec’s forests

Unifor Canada
July 7, 2026
Category: Forestry
Region: Canada East

An unprecedented coalition bringing together First Nations, unions and environmental, tourism and wildlife organizations is seeking to lay the foundations for a unifying project that will ensure the future of Quebec’s forests. This initiative, presented in an open letter published in La Presse, focuses on concertation as a means of building a more resilient forestry sector that creates good jobs, respects the rights of First Nations and is committed to protecting the environment. Unifor’s Quebec director Daniel Cloutier, one of the letter’s signatories, also delivered this message during a news report by Radio-Canada. This project is the direct outcome of the consultation process launched by Unifor in 2024 with the creation of an inter-union council and the organization of the Union Forestry Summit in Chicoutimi in May 2025. 

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McGill study provides further evidence that aspen patches can mitigate wildfires

McGill University Newsroom
July 7, 2026
Category: Forestry
Region: Canada, Canada East

Flavie Pelletier

Researchers at McGill University have confirmed that aspen play a key role in forest fire prevention and mitigation across Canada. Planting these trees near communities can reduce both the likelihood and severity of fires and limit how far they spread, the researchers said. “Aspen is not a 100 per cent effective fire deterrent, but compared with other species, it is a better choice to plant around communities or critical infrastructure,” said Flavie Pelletier, lead author and recent PhD graduate in Natural Resource Sciences. While individual aspen trees burn easily due to traits like thin bark, large aspen stands have the opposite effect, with bigger patches linked to lower fire severity. …Pelletier said that the team used previously unavailable remote-sensing data to do a large-scale analysis of how fires and aspen interact. …Because some forestry companies remove aspen to promote commercially valuable conifers, the findings could also influence forest management practices.

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Forestry scientists stay upbeat in face of federal turmoil

By Robert Chaney
The Montana Free Press
July 7, 2026
Category: Forestry
Region: US West

International ecology conference in Missoula focuses on problem-solving, both in the woods and the lab. The research featured at the event has major implications for Greater Yellowstone. The 15th annual North American Forest Ecology Workshop took place at the University of Montana University Center June 23-26 with 50 concurrent sessions, each featuring at least three experts displaying their latest work. “We went through the first six months of reign of terror, followed by the reign of chaos,” Washington Department of Natural Resources Forest Health Scientist Derek Churchill  said of the Trump administration’s firings and resignations in early 2025, and the subsequent restructuring of U.S. Forest Service and Interior land-management leadership. “We just keep doing the work. A lot of research grants have been going dark, but we’ve still got legacy funding from others. There’s lots of new problems to solve. Forest ecosystems are very dynamic, and we love disturbance. We love studying how they change and adapt.”

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Forest Fires

Trans-Canada Highway closed near Boston Bar as Fraser Canyon wildfires grow

By Tim Petruk
Castanet
July 7, 2026
Category: Forest Fires
Region: Canada West

© BC Wildfire Service

The B.C. Wildfire Service says a large column of smoke could be seen on Tuesday as hot, windy conditions increased fire behaviour at two wildfires burning in the Fraser Canyon. The Brunswick Creek wildfire is located on the west side of the Fraser River. Ainslie Creek, sparked by embers from the Brunswick blaze, is burning an estimated 695 hectares across the river to the northeast. “Hot, dry weather and windy conditions drove elevated fire behaviour and fire growth today. Wind and elevated fire behaviour are anticipated into this evening,” BCWS said. A thick blanket of smoke from the fires and falling ash blew into Kamloops on Tuesday evening. Air quality advisories have been issued. As of Tuesday afternoon, BCWS estimated the larger Brunswick Creek wildfire has now burned 1,800 hectares. …firefighters are working to prevent the wildfire from affecting nearby communities and the Trans-Canada Highway corridor, which was closed to traffic Tuesday afternoon.

Related coverage in CFJC Today: Smoke from distant fire darkens Kamloops sky to eerie hue

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Seven new forest fires confirmed in northeast Ontario

By Darren MacDonald
CTV News
July 7, 2026
Category: Forest Fires
Region: Canada East

The forest fire season in northeastern Ontario shows no sign of slowing down, with seven new fires reported Monday evening, bringing the region’s total to 39 active fires. In addition, Ontario Forest Fires said in its daily update that smoke from across the border is having an impact. “Smoke from active wildland fires in northern Québec is drifting into parts of the northeast region,” the organization said. …Of the 39 active wildland fires in the northeast region, six are not under control, two are being held, eight are under control and 23 are being observed.

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Babylon Fire — the nation’s largest — surpasses 100,000 acres, remains 0% contained

By Andrew Christiansen
The Salt Lake Tribune
July 7, 2026
Category: Forest Fires
Region: US West

©San Juan County FB

The Babylon Fire has surpassed 100,000 acres as firefighters continue working to keep the nation’s largest active wildfire within established containment lines in southeastern Utah. The wildfire remained 0% contained Tuesday morning after growing to 100,479 acres about 25 miles southwest of Monticello, according to the U.S. Forest Service. As of Tuesday morning, 1,204 personnel, including 30 hand crews, 58 engines, 21 helicopters, 17 water tenders and four dozers, were assigned to the incident. The most active fire growth Monday occurred along the eastern and northeastern portions of the blaze, according to Tuesday’s incident update. Fire officials said the fire’s growth was anticipated, and firefighters have remained focused on strengthening indirect containment features intended to keep the blaze within the broader containment strategy while taking advantage of opportunities to directly attack portions of the fire where conditions allow.

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Gold Mountain fire: Blaze continues to grow outside Ouray, but no new evacuations ordered

By Stina Sieg
Colorado Public Radio
July 7, 2026
Category: Forest Fires
Region: US West

Outside the mountain town of Ouray, the Gold Mountain fire increased by several thousand acres since Monday, though the fire official tasked with keeping the public informed sounded cautiously optimistic in his Tuesday morning briefing. “We had a really productive day,” said Jeremy Dietz, operations section chief with Rocky Mountain Complex Incident Management Team 3. In a video posted on Facebook, he gestured to a map that showed the bulk of the fire’s footprint, mostly to the north and east of Ouray. “We got 3% containment yesterday, hoping to build on that.” The fire has grown to more than 31,000 acres, with more than 900 personnel working the blaze. Though Ouray has been spared by the flames, the fire has continued to grow through the high-alpine terrain to its north and east — home to farms, ranches and some rural subdivisions — since June 27. 

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Boise Foothills wildfire grows to 2000 acres, public asked to leave Ridge to Rivers Trail System

By Clark Corbin and Christina Lords
The Idaho Capital Sun
July 6, 2026
Category: Forest Fires
Region: US West

Boise Fire Department officials asked the public to leave the popular Ridge to Rivers Trail System and the Bureau of Land Management issued a temporary closure of BLM-managed public lands and trails after a wildfire started in the Boise Foothills on Monday afternoon. Just after 2 p.m. Mountain time Monday, Boise Fire Department officials announced they were responding to a grass fire that started near the 1900 block of N. Claremont Drive. As Tuesday morning, the cause of the fire was unknown and under active investigation. The fire is burning in the Boise Foothills, about two miles northwest of Boise. …The U.S Wildland Fire Service – Great Basin is referring to the fire as the Claremont Fire. The fire has burned an estimated 2,500 acres as of Tuesday morning, the service reported. …According the press release, firefighters are also facing unique challenges within portions of the area’s Military Reserve.

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