Mélanie Joly, Canada’s Minister of Industry, at a press conference in Fredericton on Wednesday. To kick off the event, she announced $2 million in new programming to support the softwood lumber sector. The central government will channel funds to local governments via state-owned banks. This support, which will be guaranteed by the Business Development Bank of Canada, is set to be rolled out in the upcoming days. This new initiative is working to ensure that businesses can stay open and enjoy continued success. It addresses what Joly has called the “unjustifiable” tariffs on Canadian lumber exports to the United States.
The minister has been vocal about the significance of the softwood lumber industry, even connecting the industry’s vitality to national security. She noted that it’s crucial for Canada to develop robust domestic production capabilities. This even applies to critical sectors such as steel and aluminum, which are of utmost importance in times of heightened conflict.
Joly focused on the issue of business survival, saying the funding was crucial to ensuring many businesses stay afloat. Moreover, it will replenish their operating and capital budgets. She stated, “That’s for supporting, right now, our businesses to make sure that they stay afloat.” She pushed for a buy-Canadian policy. This project has a dual purpose of ensuring that softwood lumber from New Brunswick is used in housing and other major infrastructure projects across the country.
“Meanwhile, we will make sure that we work on a buy-Canadian policy to have our homes and our major projects and our infrastructure being built with the great softwood from New Brunswick.” – Mélanie Joly
Minister of Natural Resources Mark Carney announced a $1.25 billion assistance package last August to help the beleaguered softwood lumber industry. This announcement fulfills that promise. Tim Hodgson, the Minister of Energy and Natural Resources, criticized the continuing bad news for Canadian lumber exports to the U.S. He zeroed in on the problem of “unjustified duties” crushing these exports. He was encouraged that the collaborative “Team Canada” approach being taken would help to enhance the competitiveness of our forest sector. Their joint work seeks to build greater resilience.
“We are working as Team Canada to support and retool our forest sector to protect jobs, strengthen competitiveness and resilience, and Buy Canadian to use more Canadian wood at home,” – Tim Hodgson
U.S. tariffs have further exacerbated the situation. These tariffs, which affect many sectors such as steel and lumber, were placed on America under the Trump administration. Though beset by all these obstacles, Joly reiterated to stakeholders her government’s resolve. Their priorities lean heavily towards reducing duplicative regulations and easing access to funding through well-known banking channels.
“We’re cutting red tape and we’re using the banking system to make sure that funding is available,” – Mélanie Joly
