The housing outlook weakened in Canada and US as affordability and uncertainty dampened activity. In related news: US builder sentiment ticked lower; and Canada’s inflation rate edged down. In Business news: Canada announced its new CUSMA trade negotiator; Bell Lumber & Pole is expanding in Arkansas; Metsä created a lignin demo plant in Finland; and factory-built housing makes headway in Ontario and California.
In Forestry news: Tree Canada launched an urban forestry platform; the University of Alberta is creating new growth and yield models; activists spiked trees in Quebec’s Maurice region; a BC ENGO says herbicide use has declined but the NDP planned to phase it out; the mountain pine beetle outbreak intensified in Colorado; Vermont’s forests need management not mandates; and Georgia announced its Forestry for Wildlife award winners.
Finally, why Richmond Plywood refuses to shut down even when demand tanks.
Kelly McCloskey, Tree Frog News Editor
Prime Minister Mark Carney has chosen former Privy Council clerk Janice Charette to head Canada’s trade negotiations as it prepares for a review of the North American trade pact. Charette’s title is chief trade negotiator to the United States, according to a Monday news release from the Prime Minister’s Office (PMO). She’ll be a senior adviser to Carney and Canada-U.S. Trade Minister Dominic LeBlanc. “Charette brings extraordinary leadership, expertise and a deep commitment to advancing Canada’s interests,” Carney said in the release. “She will advance Canadian interests and a strengthened trade and investment relationship that benefits workers and industries in both Canada and the United States.” The announcement comes as the federal government prepares for a scheduled review of the Canada-U.S.-Mexico Agreement (CUSMA) this year. It also comes a day after Mark Wiseman, a global investment banker and pension fund manager, took the reins as Canada’s next ambassador to Washington.
FINLAND — Metsä Group’s demo plant for a new lignin product has started up in Äänekoski, Finland. The plant uses lignin extracted from the bioproduct mill’s production process as its raw material and it has a nameplate capacity of two tons of a new type of lignin product per day. The plant was built in cooperation with the equipment supplier ANDRITZ. Dow, a leading materials science company, is a key partner. Metsä Group’s new lignin products are called Metsä LigO™. According to Ismo Nousiainen, CEO of Metsä Fibre, part of Metsä Group, the company aims to use the wood raw material, including side streams of pulp production, as efficiently as possible to generate the greatest possible added value. …”The purpose of the new demo plant is to ensure the functionality of the lignin product’s production process, as well as the product’s characteristics and suitability for the market.”
Canada’s annual inflation rate edged down to 2.3% in January, Statistics Canada said on Tuesday, driven downward by a decline in the cost of gasoline. Economists were largely expecting the rate to remain unchanged from December’s 2.4%. Pump prices put pressure on the headline rate, having fallen 16.7% in January compared to the same period last year. With gas excluded, January’s inflation rate came in at 3%. The Bank of Canada’s preferred measures of core inflation, which strip away volatility from one-time tax changes and gas prices, all ticked down in January — bringing those rates closer to the central bank’s two per cent inflation target. “Overall, this is an encouraging result for the Bank of Canada, with inflation finally nearing the [2%] target on a broader basis,” wrote Douglas Porter, chief economist at Bank of Montreal. ›
The pace of homebuilding in Canada continues to slow with no near-term signs of a turnaround, said Canada Mortgage and Housing Corp. on Monday. The national housing agency said the seasonally-adjusted annual pace of housing starts declined 15% in January. Housing starts can vary considerably month-to-month as big projects get started, but the agency’s six-month moving average for annual starts also showed a 3.5% decline. “The six-month trend has decreased for the fourth consecutive month,” said CMHC deputy chief economist Tania Bourassa-Ochoa in a news release. “We expect new construction to continue trending lower going forward as trade and geopolitical uncertainty, high construction costs, weaker demand, and rising inventories continue to constrain developer activity.” She said a near-term turnaround is looking unlikely, and reflects what the agency has been hearing from developers over recent months. The pullback comes amid a variety of pressures, including lower immigration numbers and US trade policy.
It’s been nearly a century since political economist Harold Innis popularized the phrase “hewers of wood and drawers of water” in decrying Canada’s dependence on natural resources. …Underpinning that cry is the (wrongheaded) assumption that natural resources such as mining, agriculture and energy are second-grade economic activity, less desirable than manufacturing. …That mistake is the foundation for many public policy blunders over many decades. The numbers demolish that myth, and tell a very different story, one in which energy, mining and other natural resources sectors create enormous economic value and are globally competitive. …The federal government needs to get itself out of the way of some of the strongest parts of the Canadian economy. Stop subsidizing inefficient sectors. Stop raising protective tariffs that harm other parts of the economy. Focus on rolling back unjustified regulatory barriers that harm the ability of the entire economy, particularly globally exposed natural resources sectors, to compete. And, most of all, stop the undervaluing Canada’s great natural advantage in natural resources. [to access the full story a Globe & Mail subscription is required]
Reality-television stars are rarely consulted on matters of public policy. But in April, Realtor.com asked Tarek El Moussa to comment on the White House’s “Liberation Day” tariffs. The Southern California entrepreneur, who rose to fame on the popularity of HGTV’s Flip or Fop franchise, warned that higher import taxes would harm “new-home builders” and “first-time buyers” the most — after all, “luxury buyers” could absorb greater costs. Aspiring homeowners, he averred, are “usually strapped for cash,” and “doing everything they can just to buy a house.” Now that the second Trump administration has passed its one-year anniversary, all evidence indicates that El Moussa understands his industry well. There is little doubt that his trade war erects a sizable obstacle before those looking to find a place of their own. …The types of wood available in the US are not always the same as what’s available from Canadian imports.
As Denmark has recently tightened its standards for new construction with the aim of reducing embodied carbon, what lessons can Canada draw from this experience? In 2023, the Danish Building Code made life-cycle assessment (LCA) mandatory for all new buildings over their first fifty years. …The government also mandated researchers to provide practitioners with a list of generic material data for cases where an Environmental Product Declaration (EPD)—required to perform an LCA. When the regulation came into force in 2023, the entire construction industry was opposed to it, recalls Thomas Graabaek. “ And then slowly there was a movement within architects and engineers that actually we need to have even stricter demands.” …“Unfortunately, in Canada, [architects] have been educated only around operations, [not on its entire life cycle],” explains Kelly Alvarez Doran. He advocates for the establishment of embodied-carbon targets at different regulatory scales. 
Building homes inside a factory has long been seen as a way to revolutionize the American housing industry, ushering in a new era of higher quality homes at lower price. That dream has never quite panned out. Can California finally make it happen? …For decades engineers, architects, futurists, industrialists, investors and politicians have been pining for a better, faster and cheaper way to build homes. Now, amid a national housing shortage, the question felt as pressing as ever: What if construction could harness the speed, efficiency, quality control and cost-savings of the assembly line? …What if the United States could mass-produce its way out of a housing crisis? …This year, state legislators in California believe the turning-point might actually be here. With a little state assistance, they want to make 2026 the Year of the Housing Factory. At long last. 
A Williams Lake man was of three people to be recognized by Forest Professional British Columbia (FPBC). At the 78th annual forestry conference on February 5, John Walker was honored as a Distinguished Forest Professional. …“John is a respected collaborator and mentor across BC, particularly in the Cariboo region, where he builds strong connections between forestry practices, First Nations stewardship and research,” Forest Professionals BC Board Chair Dave Clarke said. “I’ve been in Williams Lake since 1996 starting in consulting making decisions on a block by block level. Now working with Williams Lake First Nation it’s more landscape level working towards different policies and then also being operational. A lot of the Fire Mitigation work around town we’ve been a part of and helped push for,” Walker said. He has also collaborated with the BC Wildfire Service to develop thinning methods for prescribed burns, reducing wildfire risk, restoring culturally important plants, and enhancing operational efficiency.
Whistler is fortunate to be surrounded by temperate rainforest, which is essential to the resort’s appeal as a tourist destination. Forests have also proven to be highly beneficial for human mental and physical health. …Old-growth forests, defined as undisturbed for at least 250 years, are vital to addressing the interconnected biodiversity and climate crises. …On the climate side, old-growth forests store vast amounts of carbon in living trees, dead wood, and undisturbed soil. …Since the early 1900s, Whistler’s forests have been logged extensively, and low-elevation old-growth forests that once covered the valley are now found only in limited areas. Commercial logging and thinning have continued by the Cheakamus Community Forest (CCF) since 2009, though old-growth logging was deferred in 2021. …Given that old-growth forests thrive on stability, attempting to manage them doesn’t make ecological sense, especially since they are already among the most climate-resilient ecosystems on Earth.
Montreal — An activist group calling itself Les Robins des ruelles has followed its recent Robin Hood-style grocery store heists in Montreal with a claim to have sabotaged planned logging operations in a forest in the Mauricie region. …Translated as the Robins of the Alleyways, the group’s name is intended to evoke the legendary English folk hero who robbed from the rich to give to the poor. The group says on social media that although it delivered the booty to community kitchens and low-cost housing complexes, the grocery heists were political statements against the current economic order. …The latest such move by the group seems to be an action intended to discourage logging in some old-growth forests of Mékinac, in the Mauricie region. In a statement … the Robins say they have “armed the forest by driving steel bars through the trees on the site.” …The president of Forex Langlois Inc., said he is taking the sabotage claims “very seriously” 
COLORADO — Forest experts are warning that Boulder’s foothills could look markedly different this year as a mountain pine beetle outbreak intensifies, with potentially far-reaching impacts on recreation and fire risk. Landowners are urged to watch for signs of beetle infestation. The state has taken action: Gov. Jared Polis announced a task force in December aimed at protecting Front Range forests from mountain pine beetle over the next decade. Boulder County has seen increased beetle activity in several areas, including upper Lefthand Canyon and Jamestown. Years of drought, warmer temperatures and overcrowded forests have weakened trees, creating ideal conditions for beetles to spread rapidly and overwhelm remaining healthy stands. …The brood of beetles already in trees and poised to spread this summer is substantial, according to Colorado State Forest Service entomologist Dan West. “It’s kind of this cake that’s already being baked,” West told Boulder Reporting Lab.
CHARLOTTESVILLE, Va. — Virginia’s forestry leaders are working to address mounting pressures that could undermine the long-term viability of forest management throughout the state. The newly formed Virginia Wood Council convened its inaugural meeting in September, bringing together representatives from various industry groups and government agencies. Participants included the Virginia Farm Bureau, Virginia Forestry Association, Virginia Loggers Association, Virginia Forest Products Association, Virginia Department of Agriculture and Consumer Services, the Virginia Economic Development Partnership, along with loggers, mill operators and manufacturers. “The plan is to understand all the emerging forest product industry issues, and figure out what’s causing them,” said Sabina Dhungana, utilization and marketing program manager for the Virginia Department of Forestry. …The industry operates through collaboration between forest property owners, forestry professionals, loggers, timber purchasers and other specialists who work to maintain a consistent supply of renewable timber resources used for lumber production, paper manufacturing, energy generation and other purposes.
