WASHINGTON, Nov. 26, 2025 /CNW/ -- Canadian Prime Minister Carney's government today issued yet another massive subsidy announcement to prop up Canada's excessive and harmful lumber overcapacity and production. This bail out comes on top of other multi-billion dollar subsidies announced since August of this year, all aimed at neutralizing U.S. trade law enforcement actions and President Trump's plan to increase U.S. softwood lumber production through his additional tariff measures.
This doubling down on unfair trade and subsidies by the Carney government will only exacerbate the softwood lumber trade issue, and will eventually result in the U.S. government collecting those subsidies at the border as the United States continues to enforce its trade laws. To date, Canadian softwood lumber companies have paid over $7 billion dollars in duties to the U.S. government, and today's announcement of more Canadian taxpayer-funded subsidies will ensure that those collections will continue into the future.
"Canada should responsibly reduce its massive excess lumber overcapacity that remains the underlying cause of Canada's unfair trade practices along with its subsidy programs," stated Zoltan van Heyningen, Executive Director of the U.S. Lumber Coalition, adding that "we will continue to fight for U.S. workers, forestry dependent communities, and companies to level the playing field against Canada's unfair trade practices and to support the President's targeted tariff policies aimed at addressing Canada's harmful excess lumber capacity."
"Canada's sense of entitlement to be able to abuse our trade laws, engage in unfair trade, announce round after round of subsidies that force our industry to compete against the Canadian government to maintain U.S. production facilities and U.S. jobs is outrageous. Clearly, the Canadian softwood lumber industry is unable to compete on its own two feet without massive government subsidies," stated Andrew Miller, Chair and Owner of Stimson Lumber Company.
"This cycle of new Canadian subsidies that are endangering our U.S. industry and workers must come to an end. We urge President Trump and his Administration to consider additional immediate measures in response to Canada's continued abuse of the U.S. market," concluded Miller.
About the U.S. Lumber Coalition
The U.S. Lumber Coalition is an alliance of large and small softwood lumber producers from around the country, joined by their employees and woodland owners, working to address Canada's unfair lumber trade practices. Our goal is to serve as the voice of the American lumber community and effectively address Canada's unfair softwood lumber trade practices. The Coalition supports the full enforcement of the U.S. trade laws to allow the U.S. industry to invest and grow to its natural size without being impaired by unfairly traded imports. Continued full enforcement of the U.S. trade laws will strengthen domestic supply lines by maximizing long-term domestic production and lumber availability produced by U.S. workers to build U.S. homes. For more information, please visit the Coalition's website at www.uslumbercoalition.org.
Canadian Subsidy Announcements Since August 2025:
Federal
- Softwood Lumber Guarantee Program: In August 2025, the GOC announced a plan to deliver $700 million in loan guarantees through the Business Development Bank of Canada to "help companies confront immediate pressures facing the softwood lumber sector, which will give the sector needed liquidity to maintain and restructure, if necessary, their operations." (https://natural-resources.canada.ca/forest-forestry/forest-industry-trade/measures-transform-canada-softwood-lumber-industry) In November 2025, the GOC announced an additional $500 million in funding for this program, resulting in a total of $1.2 billion in loan guarantees available to Canadian softwood lumber producers. (https://globalnews.ca/news/11543966/liberals-loans-lumber-producers-foreign-steel/)
- NRCan Forest Industry Transformation Programs: In August 2025, the GOC announced that it would commit $500 million beginning in FY26 to "supercharge product and market diversification and make the industry more competitive globally." This funding will be provided through programs including the Forest Innovation Program, Investments in Forest Industry Transformation, Green Construction Through Wood, the Indigenous Forestry Initiation, Expanding Market Opportunities program, and Forest Systems Information and Technology Enhancement program. (https://natural-resources.canada.ca/forest-forestry/forest-industry-trade/measures-transform-canada-softwood-lumber-industry)
- Reskilling Package: In September 2025, the GOC announced a new reskilling package created to train 50,000 workers to invest in Canadians through the federal government's Labour Market Development Agreements with provinces and territories. The GOC pledged an additional $450 million over the next three years to train employees, including "mid-career, long-tenured workers affected by U.S. tariffs and global market shifts." (https://www.pm.gc.ca/en/news/backgrounders/2025/09/05/prime-minister-carney-launches-new-measures-protect-build-and)
- Workforce Alliances and Sectoral Workforce Innovation Fund: In September 2025, the government announced it would invest $382 million over the next five years to "invest in projects tailored to local job markets to help businesses recruit and retain the workforce they need." (https://www.pm.gc.ca/en/news/backgrounders/2025/09/05/prime-minister-carney-launches-new-measures-protect-build-and)
- Workforce Innovation Fund: In September 2025, the government announced it would provide $50 million to fund "projects that help businesses in key sectors and regions recruit and retain the workforce they need." (https://www.pm.gc.ca/en/news/backgrounders/2025/09/05/prime-minister-carney-launches-new-measures-protect-build-and)
- Strategic Response Fund: In September 2025, the GOC launched this new program to support "economic resilience" for "strategic sectors disproportionately exposed to U.S. tariffs and global trade risks." (https://ised-isde.canada.ca/site/ised/en/programs-and-initiatives/strategic-response-fund)
- Immediate Liquidity Relief: In September 2025, the Business Development Bank of Canada announced that it would offer loans of $2 - $5 million for SMEs impacted by tariffs. The Bank will also offer "{f}lexibilities to the Large Enterprise Tariff Loan Facility, including lower interest rates and longer maturities." (https://www.pm.gc.ca/en/news/backgrounders/2025/09/05/prime-minister-carney-launches-new-measures-protect-build-and)
- Regional Tariff Response Initiative: This program was created earlier this year in March, and in September 2025, the GOC announced that it would significantly increase allocated funds from $450 million to $1 billion over the next three years to support businesses (particularly SMEs) directly or indirectly impacted by U.S. tariffs. (https://www.pm.gc.ca/en/news/backgrounders/2025/09/05/prime-minister-carney-launches-new-measures-protect-build-and)
- New Buy Canadian Policy: By November 2025, the GOC pledged to prioritize Canadian suppliers in federal spending and have amended its procurement requirements to require all federal agencies and Crown corporations to follow the Buy Canada Policy. The Policy includes Canadian softwood lumber. (https://www.pm.gc.ca/en/news/backgrounders/2025/09/05/prime-minister-carney-launches-new-measures-protect-build-and)
- Lumber Freight Subsidies: In November 2025, the GOC announced that it would begin subsidizing the cost to move Canadian lumber domestically by paying half the cost of transporting lumber within Canada directly to freight companies. (https://globalnews.ca/news/11543966/liberals-loans-lumber-producers-foreign-steel/)
Alberta
- Regional Tariff Response Initiative for the Prairie Provinces (AB, MB, SK): In September 2025, the Prairies Economic Development Canada initiated a program in response to the Regional Tariff Response Initiative strategy announced by the GOC earlier that month. This program is being administered to "protect Canadian businesses and workers from the impacts of tariffs." (https://www.canada.ca/en/prairies-economic-development/services/funding/regional-tariff-response-initiative.html)
British Columbia
- BC Manufacturing Jobs Fund: In September 2025, the GBC announced $2.5 million in funding for nine wood-product manufacturing businesses to plan or complete capital projects. (https://news.gov.bc.ca/releases/2025FOR0039-000907)
- Regional Tariff Response Initiative: In October 2025, as part of the GOC's strategy announced in September, the GBC launched this program to "defend Canadian jobs, industries, and supply chains" and to "protect Canadian businesses and workers from the impact of tariffs." Approved projects may receive $200,000 to $10 million in funding. Proposals from businesses in certain sectors, including forestry, will be prioritized. (https://www.canada.ca/en/pacific-economic-development/services/funding/regional-tariff-response-initiative.html)
Ontario
- Ontario Forest Access Roads Program: In September 2025, the GOO announced a $20 million increase in funding for Provincial Forest Access Roads program (already countervailed). (https://www.northernontariobusiness.com/industry-news/forestry/ottawa-must-turn-talk-into-action-to-save-forestry-says-ontario-associate-minister-11270907)
- Ontario Sawmill Chip Support Program: In September 2025, the GOO announced a $10 million increase in funding for Ontario Sawmill Chip Support program to help sawmills find "new, innovative markets for their wood chips." (https://www.northernontariobusiness.com/industry-news/forestry/ottawa-must-turn-talk-into-action-to-save-forestry-says-ontario-associate-minister-11270907)
- Investments in Steel and Softwood Lumber Industries: In September 2025, through the Federal Economic Development Agency for Northern Ontario, the government announced "a series of investments to strengthen the economy across Northern Ontario." These initiatives will support "workers and businesses most affected by tariffs and trade disruptions." (https://www.woodworkingnetwork.com/news/canadian-news/ontario-economic-agency-announces-investments-steel-and-softwood-industries)
- Regional Tariff Response Initiative in Southern Ontario: In October 2025, as part of the GOC's strategy announced in September, the GOO launched the RTRI to help businesses across all sectors "overcome trade disruptions" caused by tariffs. Businesses can request funding ranging from $125,000 to $10 million. (https://feddev-ontario.canada.ca/en/funding-southern-ontario/regional-tariff-response-initiative-southern-ontario)
CONTACT: Zoltan van Heyningen
[email protected] | 202-805-9133
SOURCE The U.S. Lumber Coalition
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