California Construction News staff writer
California’s homebuilders have little choice but to continue relying on Canadian lumber, even with the looming threat of 25 percent tariffs, as they work to rebuild thousands of structures destroyed by wildfires in Los Angeles.
In an interview with the Canadian Press, Dan Dunmoyer, president of the California Building Industry, said there are few alternatives to Canadian lumber in the state because about 80% of California’s land is owned by federal or state governments, where logging is prohibited.
Dunmoyer also explained that California lacks the mills, environmental policies, and supply chains needed to switch to local lumber production.
“We depend heavily on Canadian lumber,” Dunmoyer is quoted saying in the Canadian Press. “It’s top-quality, sustainably harvested, and well-suited for our needs.
“We like Canadian lumber. It’s good material,” he added. “But putting tariffs in place without a plan to replace it with local production just means higher prices for everyone, and that’s not what we need right now.”
Fires destroyed or damaged about 19,000 homes and other structures.
President Donald Trump has threatened to impose a 25 percent tariff on Canadian exports, which would raise the total tariff on softwood lumber from Canada to nearly 40 percent, However, both Trump and Canadian Prime Minister Justin Trudeau agreed last week to pause tariffs for 30 days.
The U.S. raised duties on Canadian softwood lumber last August, and Trump claimed on January 30 that the U.S. does not need foreign lumber, stating, “We have all the trees you need.”
In response, the British Columbia provincial government has formed a new council to advocate for the interests in the Canadian softwood lumber dispute. The council, made up of industry leaders, labor experts, and government representatives, held its first meeting Jan. 30.
“The U.S. has unjustly imposed these tariffs for years,” B.C. Forests Minister Ravi Parmar said. “We’re ready to fight this with everything we’ve got.”
“California and North Carolina are both in need of massive rebuilding. They’ll rely on Canadian lumber, and these duties will make it more expensive.”
The recent wildfires in Southern California have made an already high demand for housing even more urgent, and Dunmoyer told the Canadian Press that the timing of the tariff threat couldn’t be worse.