THUNDER BAY — “Let's be real, we're dealing with a president that is extremely unpredictable.”
As Ontario’s associate minister of forestry and forest products, Kevin Holland said he has deep concerns over the recent U.S. decision to increase anti-dumping duties on Canadian softwood lumber to to 20.56.
The minister warned that further tariff hikes could be imminent, with significant repercussions beyond Canada’s borders. “Right now it’s at 27% combined duty rate,” Holland explained. “We're anticipating another announcement next week on the countervailing duties, which could raise it to as high as 35%.”
“That's going to impact on the affordability of homes, not just in Canada but in the United States,” he cautioned.
“This is at the centre of my desk right now. It has been since I've landed in the file almost a year ago now," Holland said. "This has been the focus of our ministry, to really address this.”
“I come from a region, a community, where forestry has been the cornerstone of our economy and will continue to be for decades to come,” he added. “Understanding that importance to the economy, to the people and the communities is what we're focusing on what we need to be doing to help sustain the industry,” Holland explained.
“I don't want to just sustain the industry. I want to see it grow,” he said.
Despite setbacks, Holland noted ongoing efforts at multiple government levels. “We've put measures into place to support the industry over the last year, several initiatives,” he shared. “We've continued to work with our colleagues at the provincial and federal level on addressing the duties on softwood lumber.”
Importantly, said Holland, the World Trade Organization has ruled these tariffs illegal multiple times. Ontario has "close to a billion dollars in Canadian forestry industry funds sitting in escrow in the United States,” he said.
The Northwestern Ontario Municipal Association and the Thunder Bay Chamber are urging both the federal and Ontario governments to prioritize the softwood lumber dispute as a critical national issue. They call for prompt engagement with U.S. officials to secure a fair and timely resolution, while accelerating legal action through North American trade agreements and the World Trade Organization to challenge the tariffs. Additionally, they emphasize the importance of collaborating with forestry stakeholders to minimize further damage and provide essential economic support to affected communities.
