The pending idling of AV Group’s Nackawic mill is already being felt at New Brunswick’s biggest port. In related news: Canadian exports to the US surged ahead of new tariffs; the US trade deficit widened; President Trump eased diesel fuel taxes; and US mortgage rates climbed above 7%. Meanwhile, Canada Wood Group is recruiting its next president; US lumber dealers named their 2026–27 leadership team; Richard Guldin received Yale’s Distinguished Alumni Award; and the Society of American Foresters recognized Emily Silver.
In Forestry/Climate news: the impact of the US Forest Service reorganization remains unclear; Forests Canada’s Ontario work is highlighted by the UN; Tropical Storm Isaias could reach the US Gulf Coast as a hurricane; and the US Supreme Court is wrestling with a climate liability case. Meanwhile: the Yukon may extend presumptive cancer coverage to wildland firefighters; Northwestern Ontario is courting Scandinavian investment in hardwoods; and HP and the World Wildlife Federation launched a forest conservation campaign.
Finally, Cotton has a World Day. Cellulose deserves one too.
Kelly McCloskey, Tree Frog News Editor
The Carney government says it wants housing starts in Canada to double to 500,000 per year within the next several years. …At first glance, it’s an odd goal for the government to embrace. More than four-fifths of the existing residential housing stock in Canada consists of “market housing” — units constructed by developers and homebuilders guided by market-based signals. These signals include housing demand and business objectives such as making a profit, keeping the firm’s workers employed, etc. Ottawa’s direct role in building the country’s housing stock has been minor. …If markets operate well, the supply of housing will adjust in the face of trends in demand. Unfortunately, the homebuilding industry is subject to a heavy dose of regulation — mainly by municipalities and the provinces — and must grapple with a plethora of taxes and fees that drive up construction costs. 
OTTAWA — Exports to the United States surged in August as Canadian businesses rushed to get ahead of looming U.S. tariffs. Statistics Canada said Tuesday the country’s merchandise trade surplus increased to $4.2 billion in August, up from a surplus of $787 million in July. August marked the sixth monthly trade surplus in a row. Total exports increased 2.5 per cent to total $77.9 billion for the month, helped by a 4.7 per cent rise in exports of energy products. Excluding energy products, exports were up 1.8 per cent. Meanwhile, total imports fell by two per cent in August to $73.7 billion, the first decline since January. Exports to the US rose 8.1 per cent in August, while imports dropped 2.5 per cent. That drove a surge in Canada’s trade surplus with the US — widening to $11.2 billion in August. …Katherine Judge, at CIBC, said the increase is therefore probably temporary and will unwind come September.
On Monday, President Donald Trump signed an executive order temporarily allowing off-road “dyed” diesel fuel to be used on highways and deferring the applicable federal excise tax for the remainder of the year. The order directs the Secretary of the Treasury to defer payment of the federal excise tax normally imposed when dyed diesel is used on-road. The deferred tax would not accrue interest or penalties, and Treasury is also directed to explore ways to eliminate the obligation to repay those deferred taxes. The Secretary of Transportation is directed to coordinate with states, industry leaders, and labor organizations on access to dyed diesel. …The administration said the temporary measure is intended to reduce fuel costs for farmers, truckers, and other workers affected by restricted global diesel supplies. The full order is available 
The US trade deficit widened to $105.6 billion in August 2026 from a revised $92.8 billion in July, exceeding market expectations of $102.0 billion and marking its largest gap since March 2025. The widening was driven by a $17.2 billion surge in imports to an all-time high of $420.8 billion. Imports of industrial supplies and materials rose $9.1 billion, led by crude oil and nonmonetary gold, while capital goods imports increased $6.2 billion on stronger purchases of semiconductors and other industrial machinery. These gains more than offset a decline in computer accessories. Meanwhile, exports rose $4.5 billion to $315.2 billion, driven by a $6.3 billion increase in industrial supplies and materials, mainly nonmonetary gold and crude oil, and a $1.3 billion rise in capital goods, including semiconductors and computers. Pharmaceutical exports fell $2.4 billion. Exports and imports of services were little changed.
Mortgage rates rose sharply in September as multiple factors applied significant upward pressure on the U.S. treasury yields. According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.86% in September, up nearly 20 basis points (bps) from August. The recent increase effectively erased the improvement in mortgage rates over the past year, with the 30-year mortgage rate reaching 7.03% by the end of the month. Compared to a year ago, the average rate is higher by 51 bps. The 15-year mortgage rate averaged 6.20% in September, up 22 bps from August and 70 bps from a year ago. The 10-year Treasury yield, a key benchmark for long-term borrowing, jumped 26 bps to an average of 4.94% in September and surpassed 5.00% toward the end of the month. …Broader concerns over elevated oil prices and geopolitical tensions, the U.S. fiscal deficit, and strong competition for capital from AI and hyperscaler investment also contributed to the rise in long-term yields.
Northwestern Ontario has an abundance of hardwood. That’s what the hosts of an inbound Scandinavian trade mission are promoting in Thunder Bay this week in an attempt to attract offshore investment and new manufacturing to the region’s forest sector. The Northwestern Ontario Innovation Centre will be the venue for the trade mission, Oct. 5-7, that is drawing select companies from Canada and the Nordic countries. The innovation centre, the Thunder Bay Community Economic Development Commission and the Centre for Research and Innovation in the Bio-Economy (CRIBE) are funding and orchestrating this gathering, which will feature a predominant Swedish contingent from as many as seven companies. …CRIBE CEO Scott Jackson said they won’t be shy about drawing attention to underutilized poplar and white birch in the northwest. CRIBE laid out the opportunity and value proposition 
Tropical Storm Isaias has formed in the Gulf and is expected to approach the U.S. northern Gulf Coast on Friday after becoming a hurricane, according to the National Hurricane Center. Isaias would be the Atlantic Basin’s first hurricane of the season and is its ninth named storm. El Niño continues to bring a more active season in the Pacific. The storm formed with less than two months remaining in the 2026 hurricane season, which ends Nov. 30. Tropical Storm Isaias, which grew from Tropical Depression Nine on Wednesday,” is expected to pass to the north of Mexico’s Yucatan Peninsula on Thursday before approaching the U.S. Gulf Coast the following day, according to forecasters. It is expected to rapidly strengthen. …The hurricane center warned of “an increasing risk of dangerous wind and storm surge impacts” along parts of the northern Gulf Coast and urged people living in Louisiana, Alabama, Mississippi and northern Florida.
WASHINGTON — The Supreme Court kicked off a new term, with the justices wrestling with an attempt by oil companies to throw out lawsuits alleging they should pay damages for the impacts of climate change. Although the case concerns a specific lawsuit the city and county of Boulder, Colorado, brought against Exxon Mobil and Suncor Energy, the ultimate decision could have broad ramifications. …Boulder officials say they face increasing costs because of the impacts of climate change, including efforts to minimize risks from wildfires. …The lawsuit says Exxon and Suncor misled consumers about the impact that greenhouse gases produced by their products would have on the climate. The companies deny the allegations and warn that if the Boulder lawsuit moves forward… energy companies could face crippling damages. They also argue climate change is an international issue that cannot be the subject of litigation in state courts.
On World Cotton Day, the spotlight shines on one of the world’s most recognizable natural fibers. And rightly so. But let’s be honest for a moment…Cellulose is everywhere. In the clothes we wear, the wipes we use… In packaging, pharmaceuticals, food ingredients, hygiene products, industrial applications and countless other products we use every day. And at the heart of many of these value chains sits Dissolving Wood Pulp, quietly enabling innovation, sustainability and performance across global markets. Yet there is still no World Cellulose Day. Perhaps it’s time to fix that. Until then, let’s celebrate together in London. Join industry leaders, producers, traders, technology providers, brands and market experts at the November 9 CELCO Conference 2026. Whether you’re involved in pulp production, fibre manufacturing, trading, investment, technology or end-use applications, CELCO brings together the people shaping the future of the industry. Cotton may have a World Day…but cellulose has a world of applications.
It’s a big win for Yukon’s wildland firefighters. The Yukon government tabled a bill on Tuesday that would amend the territory’s Workers’ Safety and Compensation Act to include wildland firefighters under presumptive cancer coverage. Currently, only full-time and part-time structural firefighters are covered under the act for 19 types of cancer. Wildland firefighters are not included. Laura Lang, Yukon’s minister responsible for the Workers’ Safety and Compensation Board, said wildland firefighters are there to support and protect communities in times of need, so it’s time to reciprocate that support. “Under the proposed change, when a wildland forest fighter is diagnosed with a listed cancer and meets the legislated eligibility requirements, their cancer would be presumed to be work-related,” she said. “For those who qualify, that means less red tape and a lot more straightforward, predictable claims processes.”