Justin Trudeau unveils new cabinet as Trump’s tariffs cast a shadow over US-Canadian trade. In related news: the US Hardwood Federation says they can’t survive another trade battle, and David Elstone says the tariffs would bring BC’s forest sector to a stop. In other Business news: San Group’s creditor protection is extended; Cariboo Pulp and Paper wins arbitration hearing; and Suzano explores offer for Clearwater Paper. Meanwhile: BC’s Council of Forest Industries has a new CEO; the Softwood Lumber Board highlights hybrid opportunities; and Ireland announced its 2024 Wood Awards.
In Forestry/Climate news: Canada reports decline in greenhouse gas emissions; Canada’s north focuses on health risks of wildfire smoke; Wisconsin’s declining industry called a threat to forest health; Vancouver’s Stanley Park tree removal is for public safety; and carbon finance seeds new hope for northern forests.
Finally, the Christmas tree industry is desperate for new blood. And speaking of the holidays, Monday is our last news day until January 2nd.
Kelly McCloskey, Tree Frog Editor
As most may have heard by now, Premier Eby has announced an agreement in principle between the BC NDP and Greens. …Of key significance to the forest sector, the agreement commits “to undertake a review of BC forests with First Nations, workers, unions, business and community to address concerns about sustainability, jobs, environmental protection and the future of the industry.” Such broad encompassing reviews typically take several months, if not over a year to complete and even longer before acting on recommendations. To propose such a review now is a prime example of just how forestry in British Columbia has truly become all about politics and not common sense. The two parties in their wisdom, have agreed to a review while the BC forest industry is literally in its death throes.
NEW YORK — The U.S. increasingly relies on Canadian crude oil to meet domestic demand and that relationship faces potential strain amid the threat of tariffs from President-elect Trump. More than 50% of crude oil imported to the U.S. comes from Canada, up from 33% in 2013. The increase follows a jump in production from Canada’s western provinces and growing pipeline capacity to its southern neighbor. Trump has threatened blanket tariffs of up to 25% on products from both Canada and Mexico. That has raised concerns about higher energy costs trickling through the entire U.S. economy. “All three countries remain heavily reliant on each other economically, and hefty taxes on key U.S. imports like crude oil or softwood lumber risk exacerbating U.S. consumer inflation,” said the Americas for UBS Financial Services. …Canada, with its proximity to the U.S., is also the nation’s biggest trading partner. 
The monitor for the San Group of companies has been granted broader powers by the Supreme Court of B.C. to manage and make decisions about the financially troubled forestry company, which has operations in Port Alberni. The San Group’s protection from creditors was extended at a court hearing in Vancouver on Thursday. The next hearing is set for Jan. 16. Expanded powers granted to Deloitte include the ability to administer the company’s restructuring and any winding down of the business, plus liquidating property and disposing of assets. The monitor is permitted to continue running the business, and said it anticipates working with current management. The various parties are expected to be back in court to ask for approval for a sale and investment solicitation process. …The court agreed the company can increase its borrowing limit to $1 million — up by $400,000 — to keep operations going.
SPOKANE, Washington — Brazil’s Suzano is exploring an offer for Clearwater Paper, according to people with knowledge of the matter. The company is working with an adviser as it seeks to reach an agreement, said the people. A deal hasn’t been finalized and it’s possible one won’t be reached. Representatives for Suzano and Clearwater declined to comment. Spokane, Washington-based Clearwater, which manufactures pulp and paperboard products, had a market capitalization of $409 million as of Thursday’s close and its shares have fallen 31.6% this year. Clearwater’s shares jumped as much as 19% after the close of regular trading Thursday. Suzano, which is the largest supplier of hardwood market pulp in North America, has been pushing further into the US, most recently buying two paperboard mills in Arkansas and North Carolina in a deal valued at $110 million. [END]
Lumber prices have rebounded to around $560 per thousand board feet, up from a seven-week low of $531 on December 16th, driven by strong demand and supply constraints. U.S. existing home sales rose by 4.8% in November, the highest in eight months, reflecting growing momentum in the housing market, with more buyers entering as job growth continues, housing inventory rises, and consumers adjust to mortgage rates between 6% and 7%. Additionally, building permits surged by 6.1% in November, the highest level since February 2024, signaling strong future construction activity. On the supply side, production cuts and mill closures are restricting lumber availability as Western Forest Products reduced output by 30 million board feet, and Canfor Corp. shut two mills, cutting annual production by 670 million board feet. These supply limitations, coupled with U.S. tariffs on Canadian softwood lumber and rising import tariffs amid the China trade dispute, are pushing prices higher. [END]
Reaching the lumber industry’s vast market share potential will require growth of a variety of lumber-based and hybrid building systems, but steel-timber hybrid construction represents one of the greatest areas of opportunity. According to an analysis for the SLB by Forest Economic Advisors, steel and mass timber warehouses represent a potential annual volume of 2.4 BBF, while steel and mass timber multifamily projects represent 3.6 BBF of annual opportunity. The SLB has been working with the Council on Tall Buildings and Urban Habitat and constructsteel to unlock this opportunity, beginning by launching the Steel-Timber Hybrid Buildings Conference in 2022. The partnership continued this year with the launch of “Steel-Timber Hybrid Buildings: Case Studies,” a CTBUH research report funded by the SLB and constructsteel. The organizations celebrated the launch in September at the CTBUH 2024 International Conference
Toilet paper and biomass pellets are emblematic of the fight to save northern forests – and prevent some the planet’s more important biodiversity from going down the toilet (or up in smoke). While much of the focus on deforestation is on the world’s tropical forests, the degradation of boreal and temperate forests continues apace, threatening their ability to store carbon and destroying ecosystems.
Walking through the clear-cuts north of Lund, I’ve noticed they’re not terrible by typical standards … the real problem lies in what comes next: replanting. Replanted areas aren’t forests; they’re fiber-farms—dense monocultures devoid of biodiversity. There are no birds, deer, or diverse plant life, just crowded trees competing for scarce nutrients. If we had to live off these lands, we’d starve. Replanting is a public relations greenwash, creating biological deserts instead of ecosystems. Naturally regenerating forests, by contrast, begins with nitrogen-fixing alders, enriched soils and balanced biodiversity. …Yet British Columbia clings to outdated forestry models focused on short-term profit. …Why not replant one clear-cut while letting others regenerate naturally? We could compare outcomes and learn something valuable. …We could listen to professional foresters and scientists rather than corporate lobbyists. BC could lead the world in forestry innovation, but only if we upgrade our economic belief systems. 
The consulting company that recommended the removal of thousands of trees from Stanley Park is sharing its perspective on a project that’s spurred considerable local controversy. The Vancouver Park Board began removing trees from the park after it revealed in November 2023 that up to 160,000 of them had been killed by a hemlock looper moth infestation and had become unsafe. The report that led to the removal was authored by B.A. Blackwell and Associates, which also worked to restore the Stanley Park forest after a damaging windstorm in 2006. “I felt this was an opportunity to provide an education moment because there’s a lot to learn about this issue, it’s complicated,” Bruce Blackwell, the company’s principal, told Global News during a tour of the affected areas of the park on Thursday. Blackwell was emphatic that the only purpose of the tree removal in the park is public safety.
For the first time since the pandemic, Canada had a year-over-year decline in its greenhouse gas emissions — though it is still a long way off its 2030 target. A preliminary 
While details are minimal to this point, the BC Forest Safety Council is reporting a logging truck driver was killed outside of Logan Lake sometime Monday. According to the Safety Council’s bulletin issued Wednesday, the person was killed December 16th while attempting to “tow a log truck that had spun out on an icy road.” The details on a specific location, as well as the circumstances surrounding the person’s death, have not been detailed. …A separate bulletin issued by the BC Forest Safety Council this week also highlights the dangers that forestry workers face while on the front-lines of felling operations. It points to two separate, non-fatal incidents involving heavy machinery being used in different operations in the Southern Interior this fall, including one near Scotch Creek in the Shuswap. Both involve harvesting in steep-sloped areas.