BC Lumber Trade Council President says they’re continuing to take tariff threat seriously

The President of the BC Lumber Trade Council says the threat still exists

Kurt Niquidet is referring to a one month delay to potential 25 percent tariffs on Canadian exports into the U.S.

“We’re continuing to work with the BC government as well as the Canadian government on being prepared. It’s been sort of something that’s been a real concern to us just because it could have major impacts on the sector. So we’re not stopping our work and we’re going to continue to apply the Team B.C./Team Canada approach to these broader trade issues.”

Niquidet says for their industry it amounts to piling on duties on top of duties.

“BC is already facing on our softwood lumber exports to the U.S, just over 14 percent duties, and those duties are scheduled to probably go up later this year. And from what we understand if there is a broad based tariff that would be in addition to those duties. So that adds a significant cost to shipping to our major market. 75 percent of our softwood lumber exports are destined to the U.S.”

Niquidet says that would put a financial strain on Canadian producers which could lead to curtailments and economic harm to forestry-dependent communities.

However, he says tariffs would also have an impact south of the border.

“Canada makes up about 25 percent of the U.S. market. They can’t supply all their lumber needs. They need to import lumber from elsewhere, and most of that comes from Canada so if you slap a tariff or a duty on those imports that impacts the cost of those imports, so that ends up impacting the price of lumber in the U.S and ultimately housing affordability.”