Daily News for December 23, 2024

Today’s Takeaway

Outlook for 2025 – Tariffs on Friends and Foes Alike: ERA

The Tree Frog Forestry News
December 23, 2024
Category: Today's Takeaway

ERA Forest Products Research’s outlook for 2025 includes expectation of tariffs on friends and foes alike. In related news: Trump’s tariffs could devastate New England; Resolute closes Maniwaki, Quebec sawmill for 6-months; BC was battered with mill closures in 2024; while Arkansas and Mississippi report industry gains. Meanwhile: Unifor ratified its agreement with CN; and BC implements measures to boost home construction.

In Forestry news: New Brunswick’s Premier may ban glyphosate; Quebec is accused of catering to industry; PRT Growing Services partners with Ontario First Nation; the Northwest Forest Plan may allow more logging; the US announced funding for private forests; and the pros and cons of removing snags from the forest. 

Finally, it’s time for your favourite frogs to hop off into the cedars to eat their Yule Tide Fly Stew. We’ll be refreshed for another year of forestry news on January 2, 2025. Until then, have a wonderful holiday and best wishes for the year to come. 

Kelly McCloskey, Tree Frog Editor

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Special Feature

Merry Christmas, Happy Holidays and all the best in the new year!

By Sandy, Kelly, Heidi and Suzi
Tree Frog Forestry News
December 23, 2024
Category: Special Feature

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Opinion / EdiTOADial

ERA’s Forest Products Outlook for 2025 – Tariffs on Friends and Foes Alike

By Kevin Mason, Managing Director
ERA Forest Products Research
December 20, 2024
Category: Opinion / EdiTOADial
Region: Canada, United States

Kevin Mason

The incoming U.S. administration has highlighted that it will impose tariffs on friends and foes alike. The application and size of any potential tariffs are unknown, leaving countries and companies guessing about how to position themselves. First-order impacts will be greatest on partners with few alternatives (i.e., Canadian lumber production). Second-order effects are always harder to forecast, but, if Asian paper imports turn away from the U.S., they are likely to flood Europe and/or traditional U.S. export markets. Retaliatory tariffs are to be expected, with the greatest risks to products dependent on export markets, including fluff, dissolving pulp and pellets.

Leaving aside the inevitable unknown unknowns, there are several known economic drivers in the year ahead. Interest rates are expected to decline in 2025, although expectations for the pace of declines keeps changing. Lower rates should increase U.S. housing activity, and even a small increase in activity should have an outsized impact on solid wood and housing markets (as labour allows). The U.S. dollar is expected to strengthen, putting downward pressure on commodities. The U.S. is expected to impose steep tariffs on imports—particularly those coming from China, but also from other countries. This will reshape trade flows over the next few years and should boost domestic manufacturing (although the last go-around showed little benefit). The Chinese real estate conundrum is too deep to be solved in 2025 and will continue to be a drag on confidence, consumption and credit within China and beyond its borders.

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Business & Politics

Unifor members ratify agreement with CN

Unifor Canada
December 22, 2024
Category: Business & Politics
Region: Canada

MONTREAL — Members of Unifor Council 4000 and Local 100 have ratified a new collective agreement with CN, concluding a challenging round of bargaining. “This agreement secures important gains that reflect the critical contributions of Unifor members to CN’s operations,” said Unifor National President Lana Payne. …The ratified agreement, which spans four years, includes meaningful improvements to wages, benefits, and job protections for more than 3,000 members working in CN terminals and headquarters across Canada, including rail car technicians, heavy-duty mechanics, excavator and top-lift operators, diesel engine mechanics, crane operators, machinists and electricians, as well as clerical and administration, customer support and fleet mechanics among others.

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Province appoints new BC Hydro board chair, three directors (including Don Kayne)

By Ministry of Energy and Climate Solutions
Government of British Columbia
December 20, 2024
Category: Business & Politics
Region: Canada, Canada West

The B.C. government has appointed a new chair and three new directors to the BC Hydro board of directors. …Glen Clark has been appointed the new chair of the BC Hydro board of directors. Clark will take over the post from current chair, Lori Wanamaker, whose term will end on Dec. 31, 2024. …Merran Smith is president of New Economy Canada and brings award-winning leadership uniting industry, government and civil-society partners. …Brynn Bourke is executive director of the BC Building Trades (BCBT). …Don Kayne is president and CEO of Canfor Corporation, and former CEO of Canfor Pulp Products Inc. Kayne has deep experience in international sales and marketing, human resources and executive compensation through 45 years with the forest company. 

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Sawmill closure hits Maniwaki hard

CBC News
December 21, 2024
Category: Business & Politics
Region: Canada, Canada East

Uncertainty looms in Maniwaki, Que., as a Resolute Forest Products sawmill begins a temporary closure, leaving hundreds out of work and raising fears of spin-off impacts on the local economy. The pulp and paper company’s decision will put 280 workers out of a job during the holiday season. Union officials say the closure is expected to last at least six months. Several forestry plants in the region have shut down in the past year. A Commonwealth Plywood plant in Rapide-des-Joachims also announced this week that 23 workers would lose their jobs. All told, nine plants have closed across Quebec since April. …The MRC de la Vallée-de-la-Gatineau has mobilized its forestry crisis unit, set up last October, to find solutions and assist affected employees.

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2024 concludes with a promising future for Arkansas forestry

The Stuttgart Daily Leader
December 20, 2024
Category: Business & Politics
Region: United States, US East

MONTICELLO, Arkanasas — The Arkansas timber industry faced significant challenges at the start of 2024, including plant closures and natural disasters. However, the year concludes with optimism driven by groundbreaking initiatives and significant investments that signal a promising future for the state’s forestry sector. According to the Arkansas Center for Forest Business at the University of Arkansas at Monticello, Arkansas forests contribute approximately $7 billion to the state’s economy this year. …While timber prices remained soft throughout the year, announcements of forest product mill expansion and development and development of the Arkansas Forest Heath Research Center provide encouragement for the health of the state’s forests and markets they sustain. …“We’re concluding the year with increased investment in new and existing forest markets in southern Arkansas,” said Michael Blazier, dean of the UAM College of Forestry, Agriculture and Natural Resources and director of the Arkansas Forest Resource Center.

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Forestry regains its No. 2 spot in the state of Mississippi

By Bonnie Coblentz
Mississippi State University Extension Service
December 20, 2024
Category: Business & Politics
Region: United States, US East

STARKVILLE, Miss. — Although prices for timber were lower in 2024, harvest on the state’s forest land was up about 8%, giving forestry an expected value of $1.5 billion, similar to what it had in 2023. Because soybeans saw a fairly significant decrease in price, forestry regained the No. 2 agricultural commodity spot in Mississippi. …Eric McConnell, associate professor of forest business in the MSU Department of Forestry and Forest and Wildlife Research Center, said forestry was expected to harvest 36.6 million tons in 2024. The final number in 2023 was 33.8 million tons. “Mississippi prices trended up slightly each quarter, but prices on average were down in 2024 versus 2023,” McConnell said. “The overall value of production came in at $1.48 billion, same as last year. “There was $727.9 million paid to landowners for standing timber, while harvest and trucking added $756.4 million of value to the industry,” he said. Forestry is big business in the state, generating an estimated 84,000 jobs and $4.5 billion in income.

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Finance & Economics

How Trump’s Tariffs Will Affect The Housing Market In 2025

By Wesley Crowder
Money Digest
December 21, 2024
Category: Finance & Economics
Region: Canada, United States

Donald Trump talked about using tariffs as a means to increase American manufacturing. …One important economic aspect surrounding these tariffs centers on their potential impact on the housing market in 2025. …The good news for the upcoming year’s outlook on housing is that the overwhelming majority of such sourced building materials are not imported. Instead, housing market experts suggest that interest rates and bottlenecks in existing supply chains are the real threats to the market worth watching. …The biggest potential tariff expense impacting home builders would come from enacting such a cost on Canadian lumber. Market observers remain skeptical that the President-elect would really enact the tariff on close ally Canada’s raw materials. The real threat to the housing market in 2025 comes not from potential tariffs, but instead from high interest rates and lingering bottlenecks in supply chains, according to Stephen Haines of Artisan Built Communities.

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U.S.-imposed tariffs on Canada would be ‘devastating’ for Massachusetts economy, Healey says

By Chris van Buskirk
The Boston Herald
December 23, 2024
Category: Finance & Economics
Region: Canada, United States, US East

BOSTON — Placing tariffs on Canadian products entering the U.S. would be “devastating” to the New England economy, Gov. Maura Healey said during an interview with the Herald this month. …Massachusetts relies heavily on Canadian lumber for building homes, and another Trump pledge to enact an additional 10% tariff on Chinese products would stymie local efforts to spur the energy and advanced manufacturing industries, Healey said. “Where does our lumber come from? A lot of it from Canada. So this really hurts. And it’s not just Canada. Look at China. We’re trying to lean hard into technology, applied AI in the state,” Healey said. “There are a lot of component parts that, sure, we want one day to be made here in America but right now they’re made overseas. So tariffs would really hurt our state.” “It would be devastating for the New England economy if President Trump imposes tariffs,” the governor added.

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Wood, Paper & Green Building

The new Cariboo Wood Innovation Training Hub brings industry leaders together to talk wood and add value

By Andie Mollins
Williams Lake Tribune
December 20, 2024
Category: Wood, Paper & Green Building
Region: Canada, Canada West

The Alex Fraser Research Forest (AFRF) and partners are stirring things up for Cariboo woodworkers who on Dec. 12 were invited to visit the research forest’s main office in Williams Lake. It’s all part of a new initiative known as the Cariboo Wood Innovation Training Hub (CWITH), an opportunity for the Cariboo to strengthen its wood industry by coming together and sharing ideas. “We’re hoping to start offering courses in January, but I think that will just be the first step,” said Stephanie Ewen, manager of the AFRF, the University of British Columbia’s research forest. What the innovation hub will come to be is not entirely clear, but there are ideas, and the team of bright minds supporting the project, which includes the Cariboo Regional District, are encouraging others to contribute their own ideas. An open house was held December 12… 

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BC implements new measures to boost home construction

By Ministry of Finance
The Province of BC
December 20, 2024
Category: Wood, Paper & Green Building
Region: Canada, Canada West

New actions are being implemented to help more people find affordable homes in the communities where they live and work. …Starting Jan. 1, 2025, the B.C. home-flipping tax will be in place to discourage investors from buying housing to turn a quick profit. People who sell their home within two years of buying will be subject to the tax, unless they qualify for an exemption, such as divorce, job loss or change in household membership. It is expected approximately 4,000 properties will be subject to the tax in 2025. All revenue from the tax will go directly into strengthening housing programs and building new affordable homes in B.C. …Other measures to help make homeownership more accessible and improve the supply of housing, which came into effect April 1, 2024, are new thresholds for the first-time homebuyers’ program and the newly built home exemption.

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Michigan’s largest timbered building will have unique power system

By Ron Stang
The Daily Commercial News
December 23, 2024
Category: Wood, Paper & Green Building
Region: United States, US East

Not only will it be Michigan’s largest timbered residential complex but it’s the first in the world with an alternative energy system converting natural gas to electricity and using carbon storage. Ann Arbor-based Synecdoche, with a history of looking at alternative construction techniques to create sustainable buildings, has designed an eight-storey 220,000-square-foot residential structure with 18,000 square feet of office and 25,000 square feet of community spaces. …“But the big thing that’s taking up space on the ground floor is a separate microgrid utility that’s going to generate all of the electricity onsite so we’re not connected to the utility,” co-founder and design director Adam Smith said. In other words, completely off grid. …Meanwhile the structure itself will be made of cross-laminated timber, solid-sawed layers of lumber glued together often in perpendicular patterns providing structural strength. …The architects chose mass timber because of sustainability in sequestering carbon.

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True or false: Wood as a construction material is good for health?

UPM Biofore
December 20, 2024
Category: Wood, Paper & Green Building
Region: International

Answer: Yes, at least for well-being. Wood has many qualities that are impossible to replicate. There are many academically approved studies highlighting the positive impact of forests and trees on humans. Recently, there has also been high-quality research on the benefits of using wood as a construction material. Wood is a restorative material that supports well-being. A Slovakian study found that wooden materials with brownish colours are ideal for relaxation. Another study highlighted that the use of wooden materials positively impacts the human nervous system due to their appealing aesthetics. Seeing or smelling wood in a building boosts positive feelings and reduces negative perceptions of the environment. And this – a positive feeling about the environment – is not a minor thing, says Riina Muilu-Mäkelä, Research Manager and Senior Scientist at the Natural Resources Institute Finland (Luke).

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Forestry

From new mines to closed mills, 2024 marked year of shake-ups for B.C. resource sector

By Nelson Bennett
Business in Vancouver
December 20, 2024
Category: Forestry
Region: Canada, Canada West

For B.C.’s resource sector, 2024 was a year of openings and closings, beginnings and endings. While one cornerstone industry, forestry, was battered with sawmill closures, it was something of a banner year for mining, and oil and gas. …Here are some highlights and lowlights from 2024: Forestry – The year began with Paper Excellence announcing in January that it would “indefinitely” shut down its paper-producing operation at its Catalyst Crofton mill, but would keep operating the pulp side of the mill, which has close to 400 employees. The same month, West Fraser Timber Co. announced the permanent closure of its sawmill in Fraser Lake. In May, Canfor Corp. announced the permanent closure of its Polar sawmill in Bear Lake, and the suspension of its planned reinvestment in its Houston mill, which it had shuttered in 2023. In September, Canfor announced the closure of its Plateau sawmill in Vanderhoof, and its sawmill in Fort St. John.

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Dead and dying trees crucial to Vancouver Island ecosystems: biologist

By Jessica Darling
The Parksville Qualicum Beach News
December 22, 2024
Category: Forestry
Region: Canada, Canada West

NANAIMO, BC — Dead or dying trees, also called snags, are sometimes viewed as an eyesore, but a B.C. scientist is warning that if they don’t present a safety hazard, it’s important to leave them be. “There’s systematic elimination of those roost trees and habitat trees because of forestry and safety concerns, residential and agricultural development – we have so few snags in our environment and so many species require them,” said wildlife conservation biologist Christoph Steeger at a presentation this month in Nanaimo. Steeger has spent a career researching wildlife trees, and his work has included a preliminary assessment of the effectiveness of wildlife tree retention. “Because of forestry and other forces there are hardly any left and that’s of grave concern.” His talk was titled ‘the importance of wildlife trees for bats’.

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Northwest Ontario First Nation sprouts partnership with BC nursery operator

By Ian Ross
Northern Ontario Business
December 20, 2024
Category: Forestry
Region: Canada, Canada East

Up until a month ago, Cat Lake First Nation’s brush with the forestry industry in northwestern Ontario had been nothing more than some seasonal tree planting jobs, said Chief Russell Wesley. When Domtar ran the Dryden pulp mill, Wesley said locals did find employment through independent planting contractors, but nothing that created long-lasting sustainable jobs for its members. Cat Lake’s location, 180 kilometres northwest of Sioux Lookout, has had something to do with it. With only a seasonal access road, the fly-in community is too far north to be involved in the extraction of fibre. The community leadership now pins its hopes that a memorandum of understanding (MOU) signed last month with PRT Growing Services is their entry point into the region’s forestry industry. …Down the road, Cat Lake would like to duplicate the nursery operation that the B.C. company runs in Dryden by having one established in their own community at some point. 

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Quebec accused of catering to logging industry as it reviews how forests are managed

By Benjamin Shingler
CBC News
December 21, 2024
Category: Forestry
Region: Canada, Canada East

Quebec’s boreal forest — twice the size of France — is a vast expanse of wilderness rich in biodiversity that can lock up huge amounts of climate-warming carbon dioxide. It is also an economic driver for dozens of small communities. …But Indigenous leaders and environmental groups worry Quebec’s planned reforms would give logging companies too much power over what areas are allowed to be cut. …”Quebec has to be transparent about what their real intentions are,” Ghislain Picard, the chief of the Assembly of First Nations Quebec-Labrador, told Quebec AM. …Last week, the environmental group SNAP Quebec called for an independent investigation into the ties between the Ministry of Natural Resources and Forests and the industry….Earlier this year, a study examining nearly a half-century of logging in Quebec and Ontario warned that logging practices have left forests in the two provinces severely depleted, putting caribou at risk.

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Senators announce funding to boost private forest management

By Kyle Bailey
The News-Review
December 22, 2024
Category: Forestry
Region: United States, US West

Senators Jeff Merkley and Ron Wyden announced the U.S. Department of Agriculture’s Forest Service is funding projects that will assist Tribes, nonprofits and private landowners in Oregon with their efforts to manage forests sustainably and permanently conserve private forests in partnership with the state. “Oregon’s forestlands – public – and private – need investments to remain healthy, and to withstand wildfires that impact us all,” Merkley said. “I’ve long championed efforts that ensure Tribes and all those who manage our forests have the tools they need for sustainable management. These new investments will help advance our shared mission of creating and conserving healthy, resilient forests for future generations”. …The investments from the U.S. Forest Service are funded by the Inflation Reduction Act and are part of nearly $210 million nationwide for Forest Landowner Support Projects.

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Proposed changes would allow more logging on federal land in Northwest

By Lynda Mapes
The Seattle Times
December 23, 2024
Category: Forestry
Region: United States, US West

Logging would be allowed in millions of acres of national forest in Washington, Oregon and California, including older trees currently off-limits to cutting, under proposed amendments to the Northwest Forest Plan. The conservation plan was enacted in 1994 and includes 24 million acres across federal land. It was intended to preserve mature and old-growth forests and protect species, including the marbled murrelet, threatened and endangered salmon and the northern spotted owl. Now the Biden administration has embarked on an update of the plan to address changes, including a loss of nearly 7% of protected old-growth forest within the plan area because of wildfire. The loss has eliminated gains of old growth achieved during the first 25 years of the plan. The Forest Service intends to issue a final environmental impact statement on the proposed amendments in 2025, under the incoming Trump administration. What that will mean for the outcome is unclear.

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Removing dead trees after a severe wildfire is often right thing to do

By Nick Smith, executive director – Healthy Forests, Healthy Communities
The Oregon Capital Chronicle
December 23, 2024
Category: Forestry
Region: United States, US West

…Dead and dying trees — referred to as snags — pose severe risks to public safety, firefighter effectiveness and long-term forest health. Yet, contrary to claims, post-fire removal of dead and dying trees on state and federal lands is minimal, hindered by relentless litigation that threatens lives, compromises recovery efforts and delays the natural regrowth of our treasured forests. …Snags are far from benign. They fall unpredictably, endangering those working in or passing through these areas. When ignited, these dead trees burn intensely, creating spot fires and releasing embers that exacerbate the spread of wildfires. As they decay, snags create dense brush fields — a dangerous cocktail of highly flammable fuels. …By supporting post-fire salvage operations, we can ensure our forests recover more quickly, safely and sustainably. This is not just about restoring the land — it is about protecting lives, preserving our natural heritage and preventing the next catastrophic fire.

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State Announces Elliot State Research Forest Manager

KQEN News Radio
December 20, 2024
Category: Forestry
Region: United States, US West

State officials have announced that Darren Goodding will serve as the first manager of the Elliot State Research Forest. … Most recently, he oversaw planning, science application, and communications for the Wallowa-Whitman National Forest. Goodding earned a master’s degree in sustainable forest management from Oregon State University, with additional study in natural resources and recreation resource management at OSU, advanced silviculture at Colorado State University and forest carbon management at Michigan State University. He will begin his new role on January 13th. …Goodding currently serves on the boards of the Oregon Tree Farm System and the Washington State Society of American Foresters, the steering committee of the Northern Blues Forest Collaborative, and is the federal liaison to the Northeast Oregon Forests Resource Advisory Committee.

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Health & Safety

New Brunswick Premier ready to ban glyphosate if link found to mystery brain illness

By Jacques Poitras
CBC News
December 23, 2024
Category: Health & Safety
Region: Canada, Canada East

Premier Susan Holt says her government would be willing to ban the herbicide glyphosate if a new investigation finds a link to the purported mystery brain illness that a Moncton neurologist says he is tracking. The province has launched a new investigation into the hundreds of cases, saying the symptoms have sparked fear among many New Brunswickers that needs to be addressed. …If a link is found, “then we need to eliminate that exposure for New Brunswickers,” Holt said in a year-end interview with CBC News. But Holt emphasized the idea was hypothetical because “we don’t have good science to tell us that that is what’s making New Brunswickers sick.” Glyphosate is used in agriculture and in industrial forestry operations. Major logging companies use it to thin some forms of forest vegetation near the ground so young trees get more sun and rain and have a better chance to grow.

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Forest Fires

Horton Fire burns 600 acres of forest northeast of Payson. Here’s what we know

By Rey Covarrubias Jr.
AZ Central News
December 21, 2024
Category: Forest Fires
Region: United States, US West

ARIZONA — The Horton Fire northeast of Payson burned more than 600 acres of forest by Saturday and was 0% contained, according to the authorities with the Tonto National Forest. Nearly 150 firefighters and personnel battled the wildfire that threatened nearby communities of Tonto Creek Estates, Tonto Christian Camp, Tonto Fish Hatcher and Zane Grey Cabins, which were on a pre-evacuation “set” status and must be prepared to leave at the notice of authorities. The fire started Dec.14 and caused an emergency closure of the Apache-Sitgreaves National Forests and Tonto National Forest earlier this week. The forest closures would remain in place through Jan. 31, 2025, according to authorities.

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