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Burned-out California looks to Canadian timber for rebuild, tariffs or not

Homebuilders say B次元官网网址榯here arenB次元官网网址檛 really alternativesB次元官网网址 to Canadian lumber as they recover from wildfire
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CaliforniaB次元官网网址檚 homebuilders may continue to buy Canadian lumber even if new tariffs threatened by U.S. President Donald Trump comes into effect, as demand skyrockets after Los AngelesB次元官网网址檚 devastating wildfires. Softwood lumber sits stacked at, a sawmill in Mont-Blanc, Que., on Jan. 20. THE CANADIAN PRESS/Christinne Muschi

California homebuilders say they have few options but to keep buying Canadian lumber, even if itB次元官网网址檚 hit with 25 per cent tariffs, as they rebuild thousands of homes destroyed by devastating wildfires in Los Angeles.

Dan Dunmoyer, president of the California Building Industry Association, said Wednesday that B次元官网网址渢here arenB次元官网网址檛 really alternativesB次元官网网址 to Canadian lumber used for homebuilding in the state because about 80 per cent of Californian land is owned by the federal or state governments and canB次元官网网址檛 be logged.

Dunmoyer also said California lacks mills, environmental policies and supply chains that would allow a quick switch to local lumber production, and making those changes would likely take years.

B次元官网网址淲e are very dependent on Canadian lumber,B次元官网网址 he said. B次元官网网址淲e like Canadian lumber. ItB次元官网网址檚 super high-quality, properly harvested for the environment. ItB次元官网网址檚 really quality material.

B次元官网网址淚 understand from a president or a prime ministerB次元官网网址檚 perspective, itB次元官网网址檚 all about jobs. ItB次元官网网址檚 all about making sure your people have an income and a lifestyle, the quality of life, thatB次元官网网址檚 enjoyable B次元官网网址 But to try to do this over a weekend and say, B次元官网网址楬ey, we just want to put these big tariffs on any country without creating the economy within your own country,B次元官网网址 (it) just means higher prices, full stop, full period.B次元官网网址

U.S. President Donald Trump has threatened a 25 per cent tariff on most Canadian exports that would boost softwood lumber levies to almost 40 per cent when existing duties of 14.4 per cent are taken into account.

Prime Minister Justin Trudeau and Trump said on Monday that the tariffs were on hold for 30 days.

The forestry sector in British Columbia and across Canada have described the proposed tariffs as unnecessary and unwarranted, given that the United States currently meets only about 70 per cent of its homebuilding lumber needs domestically while using Canadian lumber to fill the gap.

The U.S. raised duties on softwood lumber from Canada last August.

Trump said on Jan. 30 that the U.S. did not need foreign lumber and B次元官网网址渨e have all the trees you need.B次元官网网址

On Wednesday, the provincial government in B.C. announced it had formed a new council consisting of industry, labour, U.S.-relations expertise and government voices to advance the provinceB次元官网网址檚 interests in the softwood lumber dispute.

The province says the new council will provide B次元官网网址渞ecommendations on steps B.C. can take to eliminate the 14.4% softwood lumber dutiesB次元官网网址 and held its first meeting on Jan. 30.

B次元官网网址淭he U.S. has imposed unjustified softwood lumber duties on Canada for years, and we anticipate that they will likely double before the end of this year,B次元官网网址 said B.C. Forests Minister Ravi Parmar in a statement. B次元官网网址淏ringing this team together, I am ready to throw the full weight of B.C. in the ring to fight these duties.B次元官网网址

Dunmoyer said that even if the new tariffs were imposed, switching from Canadian wood to U.S. timber wouldnB次元官网网址檛 be any cheaper for California homebuilders.

He said the recent devastating wildfires in Southern California had accelerated already high demand for new housing, and TrumpB次元官网网址檚 tariff threat could not have come at a worse time for the industry.

B次元官网网址淭he demand for housing before the fires was off the charts,B次元官网网址 Dunmoyer said. B次元官网网址淲e have projects where we have 35 homes available and 500 people in a waiting list, but that was before the fires.

B次元官网网址淲ith the fires, it just increases that demand substantially. And the other thing, which is somewhat intuitive, is it increases the demand immediately so itB次元官网网址檚 not like a ramp-up. YouB次元官网网址檝e got 15,000 displaced families who immediately need a home. And we donB次元官网网址檛 produce that many homes on a monthly basis in California to meet that demand alone.

B次元官网网址淭he timing is horrific. ItB次元官网网址檚 horrible. ItB次元官网网址檚 like, why would we add to the cost of housing when we desperately need more housing?B次元官网网址

JanuaryB次元官网网址檚 wildfires around Los Angeles destroyed or damaged as many as 19,000 homes and other structures.





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