Uncertainty loomed over B.C.’s annual forestry convention in Prince George this week as the U.S. tariff war threatened to batter an industry already struggling due to a lack of supply and underinvestment. Read More
The number of people employed in forestry, once one of B.C.’s largest industries, has been cut in half since 2000, according to the forestry council.
The number of people employed in forestry, once one of B.C.’s largest industries, has been cut in half since 2000, according to the forestry council.
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Uncertainty loomed over B.C.’s annual forestry convention in Prince George this week as the U.S. tariff war threatened to batter an industry already struggling due to a lack of supply and underinvestment.
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Delegates to the convention, hosted by the Council of Forest Industries, focused on reducing regulatory challenges and making the industry more efficient with value-added products.
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“I think from an industry perspective, we wanted to really confront the multiple headwinds we have: the U.S. tariff situation, the declining harvest levels of wood in British Columbia and the increasing cost to get that wood to our primary processing mill facilities,” said Kim Haakstad, CEO of the B.C. Council of Forest Industries.
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The number of people employed in forestry, once one of B.C.’s largest industries, has been cut in half since 2000, according to a report from the council.
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The report found the main driver of those job losses has been a 55 per cent reduction in the provincial harvest, with forest fires, pine beetle infestations and provincial conservation policies affecting the availability of trees for harvest.
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Conservative Leader John Rustad grew up in Prince George and now represents communities like Houston and Vanderhoof where mills, which represented the lifeblood of the community, have either closed or curtailed production.
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Hundreds of jobs have been lost as companies, such as Canfor, scale down their production in favour of jurisdictions with more access to trees and fewer regulations.
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Rustad said that many mills in B.C. are holding off on expansions and modernization.
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“They need to do all kinds of stuff, but they’re just not doing it because the cost structure is so incredibly out of balance and so high. It’s completely unrealistic for them to operate and make investments in British Columbia,” he said.
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“When I’m talking to companies and everybody else, they may want to talk about the positive opportunities for the future, but the reality is they’re facing some really tough times.”
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These challenges have been acknowledged by Premier David Eby, who is concerned U.S. President Donald Trump’s current investigation into Canadian timber exports could lead to large tariffs being placed on top of the 14 per cent duties already charged on softwood lumber. Those duties are also expected to be doubled to 28 per cent by the end of the year.