U.S. Forest Service announces funding opportunity to strengthen forest products economy, forest sector jobs

By the Forest Service
The US Department of Agriculture
February 18, 2026
Category: Wood, Paper & Green Building
Region: United States

Washington, D.C. — The U.S. Department of Agriculture’s Forest Service announced up to $95 million in competitive grant funding through its Wood Innovations program for projects that advance innovative wood uses, expand wood-based construction, and grow U.S. wood energy markets and forest product processing capacity. “A strong timber industry is essential for active forest management and the vitality of rural economies,” said Forest Service Chief Tom Schultz. “By supporting mills and markets that transform forest byproducts into valuable goods, we strengthen domestic manufacturing, reduce wildfire risks, and generate well-paying jobs across rural America.” Funding is available through three Forest Service grant programs: the Wood Innovations Grant, Community Wood Grant, and Wood Products Infrastructure Assistance Grant programs. Together, these programs support projects that: Develop innovative wood products; Increase the use of wood in commercial and residential construction; Expand wood energy systems; and Modernize, retrofit, or increase the capacity of wood products manufacturing facilities.

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