Industry Facts
Canada and the U.S. enjoy one of the most
productive trading relationships in the world.
Forest product companies in B.C. have made significant capital investments in their facilities around the province, investing more than $14 billion in the province between 2009 and 2019. We have a modern, efficient industry in B.C. which has long been the cornerstone of the provincial economy and one of the largest employers in the province.
How Softwood Lumber Trade
With canada Benefits the U.S.
The U.S. needs Canadian lumber to build homes. Litigation and punitive tariffs restricts access to lumber imports, causing shortages and higher prices for U.S. consumers and home builders.
Tariffs increase the price of residential construction and renovations, which means increased costs and putting the dream of home ownership out of reach for some for American families.
Over 4 million Americans make their living in residential construction. Duties on lumber means job losses in construction.
Softwood lumber’s impact on
BC jobs, economy, and trade
Jobs
Forestry supports over 100,000 direct, indirect, and induced jobs in B.C., paying $8 billion in wages, salaries and benefits.
The B.C. forest products industry represents one in 25 of all B.C. jobs and one in five manufacturing jobs.
More than 5,300 Indigenous people are directly employed in the forest industry.
Economy
B.C.’s forest industry contributes about $13 billion to the provincial GDP every year.
Nearly 9,900 local suppliers from over 340 communities, and 120 Indigenous Nations and organizations provided $7 billion in goods and services to B.C.’s forest industry.
$4 billion in revenues to all three levels of government is generated by the sector annually to help pay for hospitals, schools and other critical services people count on.
Trade
Since 2006, the B.C. forest sector has worked hard to successfully diversify its export markets, working in partnership with Natural Resources Canada, and the province of British Columbia.
Today, about 85% of B.C.’s softwood lumber production is exported to international markets. About 55% of production is exported to the U.S., almost 30% to overseas markets such as China, Japan, Korea and India, and 15% is sold within B.C. and Canada.
Canada’s share of the U.S. market is lower today than when the previous Softwood Lumber Agreement was signed in 2006. Diversification of markets for B.C. lumber and the effects of the mountain pine beetle epidemic on timber supply mean that Canadian market share is not expected to grow.
Shipments to China have increased substantially from around 300 million board feet in the last decade to over 2 billion board feet in 2020.