As tensions continue in the trade battle between the U.S. and Canada, Ontario is taking a proactive stance in planning.
The new 10-year strategy plan aims to protect the province’s forestry sector while expanding domestic demand and working to make the industry more competitive in the long run.
Unveiled in late April, the “Roadmap to Protecting Ontario’s Forest Sector” focuses on measures to support forestry workers, mills and manufacturers dealing with increased duties and tariffs from the United States.
“Our roadmap will connect Ontario’s strong forest product supply chains to new sectors here at home and emerging markets around the world,” said Kevin Holland, associate minister of forestry and forest products.
The Ontario forest sector is a $21 billion annual business and nearly all of its production—97 percent—is exported to the U.S.
According to a published report, “The roadmap is structured around three priorities: defending workers and businesses from the impacts of U.S. tariffs and duties, improving the sector’s competitiveness through modernization and regulatory changes and growing long-term demand for Ontario wood products through innovation and expanded domestic use.”
“Our roadmap will connect Ontario’s strong forest product supply chains to new sectors here at home and emerging markets around the world,” added Holland.
Tariffs on softwood lumber went from 14.4 percent to 35.16 percent as of last year, with additional tariffs of 10 percent on lumber and 25 percent on furniture and cabinetry products more recently enacted. Combined duty and tariff rates on lumber exports now total 45.16 percent.
