Showing posts sorted by date for query softwood. Sort by relevance Show all posts
Showing posts sorted by date for query softwood. Sort by relevance Show all posts

Friday, March 28, 2025

Trump's tariffs may cause toilet paper supply to unroll, Bloomberg reports

Josh Fellman
Thu, March 27, 2025 
QUARTZ

Sparse toilet paper supplies in Maryland in April 2020 - Photo: Chip Somodevilla (Getty Images)

The U.S. supply of toilet paper may come unspooled. President Donald Trump’s increased tariffs on Canadian softwood lumber could have the unintended effect of disrupting production of the bathroom essential, Bloomberg News reports.

The Trump administration’s plans to jack duties on Canadian softwood lumber to 27% — and possibly to over 50% later — may hit the availability of northern bleached softwood kraft pulp, or NBSK, a key ingredient in toilet paper and paper towels, the news agency said, citing industry participants and observers.


The import taxes on the lumber will eventually put some sawmills out of business, reducing the supply of wood chips to make pulp. That will lead to temporary closures and lower production of the ingredient, which given the finely-balanced nature of the market may result in pandemic-like shortages of the finished products and possibly higher prices.




Trump is scheduled to announce “reciprocal” tariffs on foreign products on April 2, when delayed 25% tariffs on Canadian and Mexican goods are also due to come into effect. He’s already announced 25% tariffs on all imported cars, trucks and auto parts, including those made by U.S. companies in Canada.

Import taxes on Canadian softwood lumber, now 14%, are set to rise to almost 27% this year. The 25% tariffs on most Canadian products would bump the duties to about 52% — and a “national security” probe on lumber imports could raise the charges even further.

Replacing the approximately 2 million tons of pulp now imported from Canada won’t be easy. Not only does it constitute most of the American supply, many U.S. paper plants rely on single Canadian mills because their own production processes are attuned to that specific pulp.

“They don’t buy our products for our pretty eyes,” Frederic Verreault, VP of corporate affairs at Les Chantiers de Chibougamau, a Quebec wood processor, told Bloomberg. “They buy our products because they are the best and the most integrated into their factories.”

Sunday, March 09, 2025

Mark Carney, crisis-fighting central banker, to lead Canada through US trade war

David Ljunggren
Updated Sun, March 9, 2025




Mark Carney, crisis-fighting central banker, to lead Canada through US trade war
FILE PHOTO: Liberal Party leadership candidate Carney speaks in Windsor, Ontario


By David Ljunggren

OTTAWA (Reuters) -Mark Carney, soon to become Canada's new prime minister, is a two-time central banker and crisis fighter about to face his biggest challenge of all: steering Canada through Donald Trump's tariffs.

The Liberals announced Carney as Justin Trudeau's successor on Sunday after party members voted in a nominating contest. Trudeau resigned in January, facing low approval ratings after nearly a decade in office.

The 59-year-old Carney is a political outsider who has never held office, which would in normal times have killed his candidacy in Canada. But distance from Trudeau and a high-profile banking career played to his advantage, and Carney argues he is the only person prepared to handle Trump.


"I know how to manage crises ... in a situation like this, you need experience in terms of crisis management, you need negotiating skills," Carney said during a leadership debate late last month.

Carney was born in Fort Smith in the remote Northwest Territories. He attended Harvard where he played college level ice hockey, starring as a goalkeeper.

Carney, who garnered the most party endorsements and the most money raised among the four Liberal candidates, will soon be the first person to become Canadian prime minister without being a legislator and without having had any cabinet experience.

He argues Canada must fight Trump's tariffs with dollar for dollar retaliation and diversify trading relations in the medium term.

In the next election, which must be held by October 20, the Liberals will face off against the official opposition Conservatives, whose leader Pierre Poilievre is a career politician with little international exposure.


By contrast, Carney is a globetrotter who spent 13 years at Goldman Sachs before being named deputy governor of the Bank of Canada in 2003. He left in November 2004 for a top finance ministry job and returned to become governor of the central bank in 2008 at the age of just 42.

POACHED BY THE BANK OF ENGLAND

Carney won praise for his handling of the financial crisis, when he created new emergency loan facilities and gave unusually explicit guidance on keeping rates at record low levels for a specific period of time.

Even at that stage, rumors swirled that he would seek a career in politics with the Liberals, prompting him to respond with a prickliness that is still sometimes evident.

"Why don't I become a circus clown?" he told a reporter in 2012 when asked about possible political ambitions.

The Bank of England was impressed enough though to poach him in 2013, making him the first non-British governor in the central bank's three-century history, and the first person to ever head two G7 central banks. Britain's finance minister at the time, George Osborne, called Carney the "outstanding central bank governor of his generation".

Carney, though, had a challenging time, forced to face zero inflation and the political chaos of Brexit.

He struggled to deploy his trademark policy of signaling the likely path of interest rates. The bank said its guidance came with caveats but media often interpreted it as more of a guarantee, with Labour legislator Pat McFadden dubbing the bank under Carney as an "unreliable boyfriend."

When sterling tumbled in the hours after the Brexit referendum result in 2016, Carney delivered a televised address to reassure markets that the bank would turn on the liquidity taps if needed.

"Mark has a rare ability to combine a central banker's steady hand, with a political reformer's eye to the future," said Ana Botin, Santander's executive chairman, in a written comment to Reuters. She said Carney "steadied the ship" in the UK after Brexit.


'HIGH PRIEST OF PROJECT FEAR'

But he infuriated Brexit supporters by talking about the economic damage that he said was likely to be caused by leaving the European Union. Conservative lawmaker Jacob Rees-Mogg called him the "high priest of project fear" but Carney said it was his duty to talk about such risks.

Carney also showed irritation with his predecessor in the job, Mervyn King, whom he said had not spotted the risks building in the financial sector before the 2007-08 financial crisis.

From 2011 to 2018 Carney also headed the Financial Stability Board, which coordinates financial regulation for the Group of 20 economies.

After leaving the Bank of England in 2020, Carney served as a United Nations envoy on finance and climate change.

After launching the Glasgow Financial Alliance for Net Zero in 2021 to act as an umbrella group for financial sector efforts to get to net-zero emissions, Carney oversaw a surge in membership as boards rushed to signal a willingness to act.

As the implications of moving to renewable energy began to filter down to the real economy, though, a political backlash from some Republican states accusing companies of breaching anti-trust rules ultimately led a number of large U.S. companies to drop their membership.

He also served on the board of Brookfield Asset Management and was chair of the Bloomberg board but resigned as the U.N. special envoy and left all commercial posts after he launched his bid for the Liberal leadership on January 16.

Carney's lack of political experience showed when the Conservatives pressed him over a decision by Brookfield to move its headquarters from Canada to the United States. Carney said the move took place after he resigned in January but the Conservatives found a letter he wrote to shareholders in December 2024 recommending the move.

"Sometimes I answer questions that go into details when I should keep it at a higher level. That's part of the problem with not being a politician," he told reporters when asked about Conservative allegations he had lied.

(Additional reporting by William Schomberg, Elisa Martinuzzi and Simon Jessop in London; Editing by Caroline Stauffer and Sandra Maler)




Canada picks a new leader to replace Trump target Justin Trudeau

Josh Fellman
Sun, March 9, 2025 




Photo: Andrej Ivanov (Getty Images)


Donald Trump won’t have Justin Trudeau to kick around any more. Canada’s ruling Liberal party picked Mark Carney — a former central bank governor known as a competent technocrat — as its new leader. He’s likely be sworn in as prime minster within days, replacing Trudeau.

Observers said Carney is expected to call an election almost immediately — one is due no later than October this year — which must be held on a Monday no more than 51 days after being announced. That would mean Parliament, currently suspended, wouldn’t resume sitting on March 24 as scheduled.

The election is likely to turn on a single issue: Who can best battle Trump over tariffs and resist his threats to annex the country as “the 51st state.” So far, Canada’s famously fickle — and now irate — voters have shown more trust in the Liberals, who are leading the opposition Conservatives in opinion polls for the first time since 2021.

“The next federal election is the most important of my lifetime,” said Ravi Kahlon, British Columbia’s housing minister and house leader for the left-of-center New Democratic Party-led government. While he doesn’t care who leads the federal Liberal party, he wants the next PM to be someone who will stand up for Canada. “People want someone in there who will fight for the country and not cave,” he said before Carney’s selection was announced.


Given Trump’s public derision of Trudeau, who he slights by calling “governor,” the selection of a new Canadian PM leader may change the political temperature. Carney, a former head of the Bank of Canada and the Bank of England, is known as a careful operator able to manage difficult political situations.

Main opposition leader Pierre Poilievre will have to battle public perceptions that he’s ideologically too close to the U.S. president and so he wouldn’t take a sufficiently tough stance in talks. A pivot is possible: Premier Doug Ford of Ontario won reelection after flipping from public Trump fan to tariffs foe.

The trade war will probably stay live during the campaign, with Trump only suspending some duties until early April and then on Friday threatening new levies on Canadian softwood lumber and dairy products. S&P Global (SPGI) economists cut their GDP forecast for Canada in the event of a long dispute.




New Canadian PM Mark Carney vows to fight US trade war ‘until Trump shows respect’

Alexander Butler
Sun, March 9, 2025 

Former Bank of England governor Mark Carney has succeeded Justin Trudeau as Canadian PM (REUTERS)


Canada’s new prime minister, Mark Carney, has vowed to take on Donald Trump and urged his country to unite in a defiant acceptance speech during a fierce trade war with the United States.

The former Bank of England governor, who will be sworn in as Justin Trudeau’s successor in the coming days, was on Sunday night elected as Canada’s new prime minister by the country’s governing Liberal Party as tensions escalate over tariffs with its closest neighbour.

After winning with with 85.9 per cent of the votes cast by 150,000 members, Mr Carney hit out at Mr Trump for “attacking Canadian families” and wanting to “destroy the Canadian way of life”, describing the US president’s tariffs and threats as the “greatest crisis of our lifetime”.

“There is someone who is trying to weaken our economy. Donald Trump. Donald Trump has put unjustified tariffs on what we build, sell and how we make a living,” he said.

Mark Carney has succeeded Justin Trudeau as Canada’s Liberal Party leader (AP)

After the US last week slapped sweeping 25 per cent tariffs on Canadian goods, Canada retaliated with its own 25 per cent tariffs on up to $155bn in US goods over the course of this month.


Mr Trudeau said in a televised address last week: “It’s not in my habit to agree with the Wall Street Journal, but Donald, they point out that even though you are a very smart guy, this a very dumb thing to do.”

While Mr Trudeau described the neighbouring countries as “two friends fighting”, Mr Carney said the US was a country Canada “could no longer trust”.

Mr Carney, 59, will now have to negotiate with Mr Trump as he threatens additional tariffs that could further cripple Canada’s economy.

During his speech Mr Carney said: “The Canadian government has rightly retaliated with tariffs. We will keep our tariffs on until the Americans show us respect.

“We did not ask for this fight. But Canadians are always ready when someone else drops the gloves. Make no mistake, Canada will win.”

He then turned his attack on Canadian opposition leader Pierre Poilievre, who he said "worships at the altar of Donald Trump”.


Mark Carney hit out at Donald Trump for trying to ‘destroy the Canadian way of life’ (EPA)

While the Conservative party has been gaining ground in recent months, like in other Western democracies, a surge in Canadian nationalism amid aggression from the US over trade and threats to make Canada America's 51st state has bolstered the Liberal Party's chances in the parliamentary election expected within days or weeks.


"We have made this the greatest country in the world and now our neighbours want to take us. No way," Mr Carney added. “We can’t change Donald Trump … [but] because we’re masters in our own home, we can control our economic destiny.”

Mr Carney’s fiery stance marks a dramatic shift in the rhetoric of Western leaders speaking out against Mr Trump, and will be watched closely by those in the UK and Europe, with the US president vowing to put tariffs on the EU, which he said was created to “screw” the United States.

Repeating the phrase “Canada strong”, Mr Carney said Canadians could give themselves “far more than Donald Trump could”.

“We have to look out for ourselves and we have to look out for each other, we need to hold together for the tough days ahead,” he said. “We can and we will get through this crisis.”

Mr Trudeau announced in January that he would step down after more than nine years in power as his approval rating plummeted, forcing the ruling Liberal Party to run a quick contest to replace him.


Mr Carney has said his experience as the first person to serve as the governor of two central banks – Canada and England – meant he was the best candidate to deal with Mr Trump.

He said he supported dollar-for-dollar retaliatory tariffs against the United States and a coordinated strategy to boost investment. He has repeatedly complained that Canada's growth under Mr Trudeau was not good enough.

Mr Carney could legally serve as prime minister without a seat in the House of Commons but tradition dictates he should seek to win one as soon as possible.

He will also have to decide when to call a general election, which must be held on or before 20 October of this year.


Former central banker favored to replace Trudeau as Canada PM

MARK CARNEY WON LANDSLIDE 86%

AFP
March 9, 2025 


Canadian Prime Minister Justin Trudeau called plastic pollution a "global challenge," and said Canada had a unique opportunity to take the lead as the country with the world's longest coastline AFP/File / Lars Hagberg

Canada's Liberal Party looked set Sunday to choose a former central banker and political novice as its next leader, replacing Prime Minister Justin Trudeau as it confronts threats from US President Donald Trump.

Mark Carney, who served as the governor of the Bank of Canada and the Bank of England, is widely expected to be named the new Liberal leader when results from a vote of around 400,000 party members are announced later Sunday.

The other main challenger is Trudeau's former deputy prime minister, Chrystia Freeland, who held several senior cabinet positions in the Liberal government that was first elected in 2015.

Whoever wins the vote will take over from Trudeau as prime minister, but will soon face a general election that polls currently show the rival Conservative Party as slight favorites to win.

Carney has racked up endorsements, including from much of Trudeau's cabinet, and a Freeland win would be a shock for the Liberals as they head towards a general election.

Despite dramatically breaking with the prime minister in December, analysts say voters still tie Freeland to Trudeau's unpopular record.


Carney and Freeland have both maintained that they are the best candidate to defend Canada against Trump's attacks.

The US president has repeatedly spoken about annexing Canada and thrown bilateral trade, the lifeblood of the Canadian economy, into chaos with dizzying tariff actions that have veered in various directions since he took office.

- 'Most serious crisis' -

Carney has argued that he is a seasoned economic manager, reminding voters that he led the Bank of Canada through the 2008-2009 financial crisis and steered the Bank of England through the turbulence that followed the 2016 Brexit vote.

Trump "is attacking what we build. He is attacking what we sell. He is attacking how we earn our living," Carney told supporters at a closing campaign rally near Toronto on Friday.

"We are facing the most serious crisis in our lifetime," he added. "Everything in my life has prepared me for this moment."


Data released from the Angus Reid polling firm on Wednesday shows Canadians see Carney as the favorite choice to face off against Trump, a trait that could offer the Liberals a boost over the opposition Conservatives.

Forty-three percent of respondents said they trusted Carney the most to deal with Trump, with 34 percent backing Tory leader Pierre Poilievre.

Most polls, however, still list the Tories as the current favorites to win the election, which must be held by October but could come within weeks.

- Not a politician? -

Carney made a fortune as an investment banker at Goldman Sachs before entering the Canadian civil service.

Since leaving the Bank of England in 2020, he has served as a United Nations envoy working to get the private sector to invest in climate-friendly technology and has held private sector roles.

He has never served in parliament or held an elected public office.

Analysts say his untested campaign skills could prove a liability against a Conservative Party already running attack ads accusing Carney of shifting positions and misrepresenting his experience.

The 59-year-old has positioned himself as a new voice untainted by Trudeau, who he has said did not devote enough attention to building Canada's economy.


On Friday, Carney said Canadians "from coast to coast" wanted change, and referred to himself as a political outsider.

"It's getting to the point where after two months I may have to start calling myself a politician," he joked.

Trudeau has said he would agree on a transition of power once the new Liberal leader is in place, declining to give an exact date.

When ready, the pair will visit Canada's Governor General Mary Simon -- King Charles III's official representative in Canada -- who will task the new Liberal chief with forming a government.


The new prime minister may only hold the position for several weeks, depending on the timing and outcome of the looming election.


Canada Liberal Party to choose new leader to replace Trudeau as PM


By AFP
March 9, 2025


Canada's Liberal Party looks set to choose former central banker and political novice Mark Carney as its next leader - Copyright AFP/File ANDREJ IVANOV


Michel Comte with Ben Simon in Toronto

Canada’s Liberal Party names its next leader Sunday, with a former central banker and political novice favored to replace Prime Minister Justin Trudeau as the country confronts threats from US President Donald Trump.

Mark Carney, who served as the governor of the Bank of Canada and the Bank of England, is the front-runner to be tapped Liberal leader when results from a vote of party members are announced later Sunday.

The other main challenger is Trudeau’s former deputy prime minister, Chrystia Freeland, who held several senior cabinet positions in the Liberal government that was first elected in 2015.

Whoever wins will take over from Trudeau as prime minister, but will soon face an election that polls currently show the rival Conservative Party as slight favorites to win.

Carney has racked up endorsements, including from much of Trudeau’s cabinet and more than half of Liberals in parliament.

A Freeland win remains possible but would be a surprise for the party as it heads towards an election that must be held by October, but could come within weeks.

Both Freeland and Carney have maintained that they are the best candidate to defend Canada against Trump’s attacks.

The US president has repeatedly spoken about annexing Canada and thrown bilateral trade, the lifeblood of the Canadian economy, into chaos with dizzying tariff actions that have veered in various directions since he took office.

– ‘Most serious crisis’ –

Party supporters were gathering Sunday at an Ottawa hall draped in red where the winner will be announced.

Luciana Bordignon, a 59-year-old sales representative from Vancouver, told AFP she was backing Carney but was confident the party would be emboldened after the vote.

“I expect to have a good, new, strong leader,” she said.

Lozminda Longkines told AFP that Trump’s repeated musings about making Canada the 51st US state were “a blessing in disguise.”

“We are so united… We have a common enemy,” the 71-year old said.

Carney has argued that he is the ideal counter to Trump’s disruptions, reminding voters that he led the Bank of Canada through the 2008-2009 financial crisis and steered the Bank of England through the turbulence that followed the 2016 Brexit vote.

Trump “is attacking what we build. He is attacking what we sell. He is attacking how we earn our living,” Carney told supporters at a closing campaign rally near Toronto on Friday.

“We are facing the most serious crisis in our lifetime,” he added. “Everything in my life has prepared me for this moment.”

Data released from the Angus Reid polling firm on Wednesday shows Canadians see Carney as the favorite choice to face off against Trump, potentially offering the Liberals a boost over the opposition Conservatives.

Forty-three percent of respondents said they trusted Carney the most to deal with Trump, with 34 percent backing Tory leader Pierre Poilievre.

Before Trudeau announced his plans to resign in January, the Liberals were headed for an electoral wipeout, but the leadership change and Trump’s influence have dramatically tightened the race.

– Not a politician? –

Carney made a fortune as an investment banker at Goldman Sachs before entering the Canadian civil service.

Since leaving the Bank of England in 2020, he has served as a United Nations envoy working to get the private sector to invest in climate-friendly technology and has held private sector roles.

He has never served in parliament or held an elected public office.

Analysts say his untested campaign skills could prove a liability against a Conservative Party already running attack ads accusing Carney of shifting positions and misrepresenting his experience.

The 59-year-old has positioned himself as a new voice untainted by Trudeau, who he has said did not devote enough attention to building Canada’s economy.

On Friday, Carney said Canadians “from coast to coast” wanted change, and referred to himself as a political outsider.

“It’s getting to the point where after two months I may have to start calling myself a politician,” he joked.

In the coming days, Trudeau and the new Liberal chief will visit Canada’s Governor General Mary Simon — King Charles III’s official representative in Canada — who will task the leader with forming a government.


Justin Trudeau delivers farewell speech as Canadian Prime Minister

Canadian Prime Minister Justin Trudeau finishes his speech at the Liberal leadership announcement in Ottawa, Ontario, Sunday, March 9, 2025
Copyright Sean Kilpatrick/AP
By Malek Fouda
Published on  

Trudeau gives his final speech as Canadian Prime Minister.

Canada’s Prime Minister Justin Trudeau delivered an emotional farewell speech to a conference of his Liberal Party on Sunday.

The Canadian leader served in his post for almost a decade, assuming the top job on 4 November, 2015.

Trudeau resigned from his post on 6 January after months of domestic problems which saw his popularity plummet. The declining economic conditions and the country’s direction resulted in dismal polls for Trudeau, who fell in popularity by a significant two digit margin to his main rival Pierre Poilievre of the Conservative Party.

Trudeau was also under growing pressure from his own party who lost confidence in him. Trudeau however decided to remain in power until his successor is named.

But all of that was forgotten in Sunday’s conference, as Trudeau spoke to a crowd who cheered and clapped for him, thanking him for his nine-year tenure.

The outgoing prime minister expressed his gratitude to his party and the Canadian people, saying he was “damn proud” of his time in office, which he said was filled with successes and great accomplishments.

Trudeau also warned the Liberal Party crowd that Canada needs them now more than ever, referencing the growing international crises that threaten to tear down the international rules-based order, and the growing uncertainty in the face of US President Donald Trump’s economic threat on the country.

The Liberal Party will announce a replacement for Trudeau on Sunday to lead the country until a general election is held this year.

Liberal Party members look set to pick former central bank governor Mark Carney as the new party leader and Canada's next prime minister in a vote to be announced on Sunday evening.

Carney, 59, navigated crises when he was the head of the Bank of Canada and when in 2013 he became the first noncitizen to run the Bank of England since it was founded in 1694. His appointment won bipartisan praise in the U.K. after Canada recovered from the 2008 financial crisis faster than many other countries.

A general election must be held on or before 20 October. Either the new Liberal party leader will call one, or the opposition parties in Parliament could force one with a no-confidence vote later this month.

Friday, March 07, 2025

Critics Ask If Trump and Musk Are 'Intentionally Crashing the Economy'


"If you think back at the last economic crashes... the rich were able to buy up assets on the cheap and emerged even wealthier and more powerful than before," noted one progressive commentator.



Then President-elect Donald Trump and Elon Musk pose for a photo during the UFC 309 event at Madison Square Garden on November 16, 2024 in New York City.
(Photo: Jeff Bottari/Zuffa LLC via Getty Images)


Brett Wilkins
Mar 05, 2025
OMMON DREAMS

Are U.S. President Donald Trump, top adviser Elon Musk, and allied oligarchs deliberately trying to tank the economy in order to line their own gilded pockets?

More and more observers from both sides of the political aisle are asking the question this week as the U.S. president implemented steep tariffs on some of the country's biggest trade partners, threatened a global trade war, and is taking chainsaw to government spending and programs—policies that, while inflicting economic pain upon nearly everyone else, could dramatically boost their already stratospheric wealth.

Numerous observers have likened it to the " disaster capitalism" examined in Naomi Klein's seminal 2007 book, The Shock Doctrine: The Rise of Disaster Capitalism—politicians and plutocrats exploit the chaos of natural or human-caused crises to push through unpopular policies like privatization and deregulation that harm the masses while boosting the wealth and power of the ruling class.

Economic alarm bells were already ringing before Trump's 25% tariffs on most products from Canada and Mexico and an additional 10% on China—for a total of 20%—took effect on Tuesday, prompting retaliatory measures and threats of more to come.

Then, during his rambling joint address to Congress on Tuesday night, Trump threatened to impose reciprocal tariffs on every nation on Earth starting April 2 (because he "didn't want to be accused of April Fools' Day") if those countries did not lower barriers to trade with the United States.



New York Times economic policy reporters Alan Rappeport and Ana Swanson called Trump's sweeping tariffs "one of the biggest gambles of his presidency," and a move "that risks undermining the United States economy."

But what if that's the whole point?

"I've been entertaining this theory a little bit more lately, because [Trump's] economic moves seem so stupid and terrible and counterproductive without thinking that he is intentionally trying to cause harm," progressive political commentator Krystal Ball—who also has a degree in economics and is a certified public accountant— said Tuesday on the social media site X.



Ball cited an X post by Saikat Chakrabarti, a progressive Democrat running for Congresswoman Nancy Pelosi's (D-Calif.) House seat who worked on Wall Street for six years and helped found the online payment processing company Stripe, in which he accused Trump of "manufacturing a recession."


"But it makes sense when you realize his goal is to create something like Russia where the economy is run by a few oligarchs loyal to him," Chakrabarti added. "Creating that state is hard in a large, dynamic, powerful economy with too many actors who can oppose him. So he's accelerating concentrating money and power into the hands of his loyalists while he crashes the rest out."



Responding to this, Ball asserted that "at this point, until proven otherwise, the primary actor in the government and the economy is actually Elon, so I think it makes sense to think of Elon's incentives here and what he may actually want to accomplish."

"If you think back at the last economic crashes—both in Covid and in the 2008 financial crash—while initially everyone suffered, including the rich, out of both, the rich were able to buy up assets on the cheap and emerged even wealthier and more powerful than before," she noted.

"So in 2008, not only did they get their own custom bailout, but they were able to buy housing stock at absurdly low prices," Ball recalled. "The rich got richer than ever, inequality skyrocketed, and the big banks got bigger than ever."

"Same deal with the Covid-era recession," she continued. "So, while again, everyone suffered initially, there was a huge bailout package which, yes, did benefit ordinary people, but if you look at who came out really on top... you could see people like Elon Musk, people like Jeff Bezos, people like Mark Zuckerberg getting far wealthier. Their net worths, which were already very high, skyrocketed beyond anyone's wildest dreams."

Indeed, as Common Dreamsreported, 700 billionaires got $1.7 trillion richer during two years of pandemic. Between March 2020 and April 2022, Musk got 10 times richer, while Zuckerberg's net worth more than tripled and Bezos' grew by nearly $80 billion, according to Forbes.

"Here's the other piece that's worth thinking about as well," Ball added. "Crash and crisis leads to governments and authoritarian leaders claiming more power for themselves. They can use the crisis and the emergency as a justification for taking on extraordinary powers and for taking extraordinary measures... measures that can be custom fit to primarily benefit oligarchs like Elon Musk."

"So I don't know guys, while we're running around here going... 'can't they understand how this is going to be devastating for the economy,' maybe they do understand," she concluded, "and maybe that's kind of the point."


Deluge of Trump tariffs seen hitting household budgets


By AFP
March 5, 2025


Strawberries from Mexico displayed for sale in Hawthorne, California are among the items affected by new US tariffs - Copyright AFP Stefani Reynolds

Elodie MAZEIN

Consumer items ranging from avocados and strawberries to electronics and gasoline look poised for price hikes in the wake of President Donald Trump’s tariffs on Mexico, Canada and China.

“The consumer will likely see some price increases over the next couple of days,” Target Chief Executive Brian Cornell said this week.

Fresh fruit and produce imported from Mexico during the winter months have a very short supply chain, Cornell told CNBC.

Of the agricultural products imported to the United States from Mexico in 2023, 72.5 percent were fresh fruit and vegetables and beer and other alcohol, according to the US Department of Agriculture.

Yale University’s Budget Lab has estimated the net impact of Trump’s tariffs will be between a 1.0 percent and 1.2 percent hike to consumer prices, a yearly toll of $1,600 to $2,000 per household.

The Yale analysis takes into account 25 percent tariffs on Canada and Mexico and 20 percent tariffs on China. Canadian crude has a 10 percent US tariff.

The tariffs should also raise up to $1.5 trillion for the US government in 2025, but the Budget Lab characterizes the measures as regressive taxes because they hit low-income consumers disproportionately.

Recent surveys of shoppers point to a dip in consumer confidence, suggesting a possible pullback in spending.

“It is a highly dynamic situation,” said Corrie Sue Barry, CEO of electronics retailer Best Buy, who called price increases “highly likely.”

Speaking on an earnings conference call, Barry pointed to “uncertainty about the duration, timing, amount and countries involved in addition to the potential action of others in the industry as well as the potential reaction of American consumers.”

– Auto reprieve –

Automobiles have been seen as among the most hard-hit industries from tariffs on Mexico and Canada because of the deep integration of supply chains across the region.

Trump’s tariffs have ignited anxiety throughout the industry.

Ford CEO Jim Farley said last month that Trump has promised a revival in US manufacturing but has so far produced “lot of cost and a lot of chaos.”

The tariffs could add between $4,000 and $10,000 per auto assembled in North America, according to an Anderson Economic Group analysis that excludes Trump’s tariffs on steel and aluminum.

The industry has warned of slowed investment.

“Automakers, battery makers and suppliers are investing billions in American manufacturing and to modernize the industrial base,” said John Bozzella, president of the Alliance for Automotive Innovation.

“This isn’t hypothetical. All automakers will be impacted by these tariffs on Canada and Mexico.”

Jessica Caldwell, head of insights at Edmunds, said the tariffs as proposed would profoundly affect the North American auto universe.

“If the tariffs do hold, the automotive industry won’t be able to adjust overnight,” she said. “There’s no escaping the fact that higher costs will ultimately be passed on to consumers.”

On Wednesday, the Whites House announced that it would allow a one-month exemption from tariffs on auto imports from Canada and Mexico.

– Lumber, gasoline –

Gasoline prices are also set to rise as a result of 10 percent tariffs on Canadian crude. Prices at the pump could increase as much as 40 cents per gallon by mid-March, according to GasBuddy, a website for comparing prices.

The US aerospace and defense industries, which are major exporters, is “investigating mitigation strategies that would minimize the impacts of new tariffs on our industry,” said Dan Hardwick vice president of international affairs for the Aerospace Industries Association.

The construction industry will also be affected by new 25 percent tariffs on Canadian wood, on top of existing 14.5 percent levies on some items.

More than 70 percent of softwood lumber and gypsum, which is used for drywall, come from Canada and Mexico, said Carl Harris, immediately past chairman of the National Association of Homebuilders.

Home-improvement retailer Home Depot said a majority of its products are sourced from the United States, Canada and Mexico where the chain has stores.

“In general, any tariff would have a broad impact on our industry,” Home Depot said.

Monday, March 03, 2025




When are tariffs expected, and on what? Key dates in the Canada-U.S. trade dispute
February 27, 2025 


OTTAWA — U.S. President Donald Trump on Thursday said he still intends to slap Canada with tariffs next week after a monthlong reprieve.

But Canadians confused about Trump’s plans aren’t alone, with the U.S. president at times contradicting himself about his own tariff plans.

Timelines for when countries are hit with what level of tariffs have shifted since the original threats were made and orders were signed, and it remains unclear whether Canada can negotiate exemptions or further delays.

Here are the key dates to keep in mind right now, with the caveat that they may change along with Trump’s evolving timelines.

March 4

Trump initially signed an order on Feb. 1 imposing blanket tariffs of 25 per cent on virtually all goods entering the U.S. from Canada and Mexico, and a reduced 10 per cent tariff on energy exports, set to begin on Feb. 4.


But a few days later on Feb. 3, he “paused” the implementation of those tariffs for 30 days as Canada pledged action to secure the border.

Trump’s Feb. 1 order also imposed 10 per cent tariffs on goods entering the U.S. from China, which have gone ahead.

Trump said in a post on his Truth Social platform on Feb. 27 that, citing his concerns about fentanyl flowing into the U.S., the proposed tariffs on Canada and Mexico will go into effect on March 4, “as scheduled.”

China will also be hit with an extra 10 per cent tariff on that date, he said in the post.

March 12

Trump followed up his initial tariff orders with a new salvo launched against steel and aluminum exporters.

On Feb. 10, he signed a plan to institute 25 per cent tariffs on all steel and aluminum entering the U.S., ending previous exemptions for Canada.

Those tariffs would take effect on March 12.

If Trump makes good on his promise to levy blanket tariffs on Canadian goods a week earlier, he said the new taxes on steel and aluminum would stack on top of the existing tariffs.

That would bring the effective import tax on Canadian steel and aluminum to 50 per cent as of March 12, if both sets of tariffs move forward.

April 1

On Trump’s first day in office, he signed an executive order to enact the “America First Trade Policy.”

That order called for his trade and commerce officials to report back to him by April 1 on a sweeping review of U.S. trade policy and relationships.

That date does not come with an imposition of any tariffs by default, but does direct Trump’s administration to begin examining the Canada-U.S.-Mexico Agreement, which Trump signed in 2018, ahead of a planned 2026 review.

April 2

In his Feb. 27 Truth Social post, Trump said that April 2 would mark the start of “reciprocal” tariffs — taxes on foreign products entering the U.S. that match levies on American goods.

Trump has given little indication on the scope these reciprocal tariffs would take, but he signed a memorandum on Feb. 13 directing his trade czar to examine what he perceives as unfair trade practices from other nations.

A fact sheet accompanying that memorandum flagged Canada’s digital services tax targeting tech giants doing business in the country as one such measure the U.S. might like to see addressed with reciprocal tariffs.

Trump has also threatened to levy tariffs on imported automobiles coming into the U.S.

He said on Feb. 14 that those tariffs could come “around April 2,” adding the following week that the levies would be “in the neighbourhood of 25 per cent.”

Around the same time, he floated imposing similar tariffs on pharmaceuticals and semiconductors, but has yet to provide a timeline for those.

With files from Kelly Geraldine Malone in Washington

This report by The Canadian Press was first published Feb. 27, 2025.

Craig Lord, The Canadian Press

Canada can legally challenge tariffs, but will Trump fall in line with the ruling?

By The Canadian Press

February 21, 2025

t
Rolls of coiled coated steel are shown at Stelco, in Hamilton on June 29, 2018. THE CANADIAN PRESS/Peter Power


If U.S. President Donald Trump imposes tariffs on Canadian goods as he’s repeatedly threated to do, experts say Canada has a strong case to challenge it under the Canada-U.S.-Mexico free trade agreement.

The question, though, is how quickly any decision may come through the process — and more importantly, whether the U.S. would respect any decisions from the outcome.

“A rules-based system is only as good as the willingness of the government who’s subject to it, to comply with it,” said Wendy Wagner, a partner at Gowling WLG.

The free trade agreement is a nation-to-nation agreement, so there’s no one else to appeal to if a country decides not to respect a decision.

America’s past performance on adhering to trade decisions has been mixed. Areas of contention include complicated measures such as figuring out how much foreign content is in an automobile or the long-running softwood lumber dispute.


What Trump has threatened, though — blanket 25 per cent tariffs on Canadian goods, with the exception of 10 per cent tariffs on energy — doesn’t contain much grey area, said Wendy.

“We’re not arguing around the edges here,” she said.

“There couldn’t be anything more offensive to a free trade agreement than a 25 per cent across-the-board tariff on all the products that originate from that country. It’s the most blatantly antithetical measure that you could impose.”

Enforcing the law

The blatancy of the threatened measures do bring into question whether any ruling through treaty channels will have much impact, Wagner said.

“There’s a larger issue about the extent of adherence to a rules-based system, both internationally and domestically.”

The U.S. has already shown a disregard to findings in the past. When it imposed metal tariffs in 2018 the World Trade Organization ultimately ruled in favour of China that the move wasn’t allowed, but the U.S. refused to comply.

Canada could also decide to challenge this round of tariffs at the WTO, as well as through CUSMA.

Based on the rules of the regional treaty, Canada could launch a challenge which would prompt mandatory consultations between countries within 30 days of filing the complaint.

If there’s no resolution through that step, the next would be to establish a dispute settlement panel. It acts as a sort of tribunal and goes through the process of hearing arguments and evaluating the evidence and produces a report on its findings.

The time it takes to get through a complaint varies, but past cases have generally run around a year to a year and a half, Wagner said.


The complaints process

The dispute panel’s report sets out what the offending country needs to do to fix the trade issue.

If the U.S. didn’t comply, then Canada would be allowed under the system to impose dollar-for-dollar counter measures.

This is something Prime Minister Justin Trudeau has already said the government will do as soon as the U.S. imposes tariffs, but technically Canada will also be in violation of the treaty if it imposes counter-tariffs ahead of the process.

While Canada may have to get ahead of the process to respond given the scale of the threat, it’s still important it goes through the treaty steps to get to the same result, said Clifford Sosnow, a partner at Fasken Martineau DuMoulin.

“Ultimately the result of the (grievance) process is compliance, and if there’s no compliance, retaliation, and so in many ways, you’re back to square one,” he said.

“But symbolically and legally, it has important aspects to it, because it effectively for Canada is an affirmation of the importance of the agreement.”

Going through the process will also force the U.S. to participate and submit to the process. That makes it harder for it to say it’s abandoning the whole treaty, said Sosnow.

“Effectively it creates some stickiness between a president who’s already poorly disposed towards the agreement, and at the same time affirms the legitimacy of the agreement.”

Committing to the treaty

For Canada, following the legal steps also affirms that the legal structure is the way to resolve disputes, he said.

“In other words, a rules-based system as opposed to a power-based system. So there’s both strategic value to this (and) there’s symbolic value to it.”

A U.S. refusal to participate in the process would effectively renounce the whole treaty, a sharp contrast to Trump’s apparent position that he wants a better version of the treaty he originally agreed to when negotiations open up on June 1, 2026.

“It would be effectively a highly, highly controversial, and in fact I would suggest an unprecedented, repudiation of the agreement.”

A full abandoning of the treaty would be much more significant than Trump’s tariffs, which he claims to be doing over national security concerns at the border. While the claims are tenuous at best, Sosnow said, they’re at least still within the framework of the treaty.

“The logic of that is very poor, the logic of that is very weak, but that’s the tenuous connection to the agreement.”

When Trump last imposed tariffs on Canadian steel and aluminum in 2018, the process was resolved through counter-tariffs and diplomacy, not through the treaty process.

The last round had Canada agree to several measures to limit exports of what the U.S. considered subsidized metal, but Sosnow said Trump has made it clear he’s not interested in a measured solution.

“That seemed to mollify the president (in 2018). Right now, the president is saying, ‘I won’t be mollified by that the second time around.’”

This report by The Canadian Press was first published Feb. 21, 2025

Ian Bickis, The Canadian Press

Sunday, February 23, 2025

Half of Canadians and Americans think their countries are in a recession now: poll
February 22, 2025 

U.S. President Donald Trump speaks at the Governors Working Session in the State Dining Room of the White House in Washington, Friday, Feb. 21, 2025. THE CANADIAN PRESS/AP-Pool via AP

OTTAWA — As Canada stares down U.S. President Donald Trump’s repeated threats of devastating tariffs, roughly half of Canadians and Americans believe their countries are in an economic recession right now, a new poll suggests.

The results of the Leger survey — which polled both Canadians and Americans — suggest that Canadian and Americans hold many similar views on the state of the economy and their personal financial status.

The poll also suggests that 39 per cent of Canadians who are currently employed are worried about losing their jobs within the next 12 months — a three-point increase since last month.

Sébastien Dallaire, Leger’s executive vice-president for Eastern Canada, said that the results “add up to a long series of difficult moments.”

The poll was conduced between Feb. 14 and Feb. 17 and surveyed 1,550 Canadians and 1,000 Americans. Because it was conducted online, it can’t be assigned a margin of error.


The survey says that 50 per cent of Canadians and 51 per cent of Americans polled believe that both countries are already in a recession.

Neither country is experiencing a recession right now but the Canadian Chamber of Commerce estimates that Trump’s threatened 25 per cent, across-the-board tariffs would shrink Canada’s economy by $78 billion and push the country into a recession by next summer.

The chamber estimates the U.S. economy would also take a hit of US$467 billion.

The poll suggests that slightly more than half of Canadians — 54 per cent of respondents — consider their household finances to be in good shape.

Another 46 per cent report living from paycheque to paycheque, while 59 per cent of American respondents said the same thing.

Dallaire said that although the United States is a wealthy country with more economic clout than Canada, income inequality is also greater there because its social safety net is less robust.

“The big difference between the two countries is in Canada, you do have more protection, you do have more backup if things go south a little bit, but in the United States it can be much tougher if you’re not able to make ends meet,” he said.

The unemployment rate in Canada stood at 6.6 per cent in January 2025, Statistics Canada reported.

The polling industry’s professional body, the Canadian Research Insights Council, says online surveys cannot be assigned a margin of error because they do not randomly sample the population.

This report by The Canadian Press was first published Feb. 22, 2025.

Jesmeen Gill, The Canadian Press


70% of Canadians support retaliatory tariffs on United States: poll

By The Canadian Press
February 21, 2025 


OTTAWA — Seventy per cent of Canadians are in favour of dollar-for-dollar retaliatory tariffs on the United States, a new poll suggests.

Nearly half of respondents to the Leger poll — 45 per cent — said they were strongly in favour of such tariffs, while 25 per cent said they were somewhat in favour.

U.S. President Donald Trump has pledged to impose steep tariffs on imports from Canada and other countries.

He has announced plans to implement a number of different tariff measures and signed executive orders to impose 25 per cent tariffs on all steel and aluminum imports starting March 12. Earlier this month, he paused his stated plan to hit Canada and Mexico with 25 per cent across-the-board duties, with a lower 10 per cent levy on Canadian energy.

Trump also has repeatedly pushed the idea that Canada should become a U.S. state and in January threatened to use “economic force” to annex Canada.


Leger reports 81 per cent of respondents said they were worried that Trump would use economic means, including tariffs and trade sanctions, in an attempt to force Canada into a “much closer and more formal union with the United States.”

The poll was conducted between Feb. 14 and Feb. 17 and surveyed 1,500 Canadians. Because it was conducted online, it can’t be assigned a margin of error.

Sébastien Dallaire, Leger’s executive vice-president for Eastern Canada, said the strong support for retaliatory tariffs shows Canadians are angry.

“It speaks to the level of anger on the part of Canadians, that they are willing for the government to take actions that in the end will hurt our pocketbook,” he said, noting retaliatory tariffs might increase prices or make some products less available to consumers.

Most poll respondents said they had cut their purchases of American products, with 63 per cent saying they were buying less in stores and 62 per cent saying they were buying less online.

Just over half — 52 per cent — said they were buying less through Amazon. Half said they had cut down on fast food purchases from American chains and 43 per cent said they were buying less from U.S.-based retail chain stores.

Almost one-third — 30 per cent — of respondents who had a trip planned to the United States said they had cancelled it.

But only 19 per cent of those who subscribe to U.S. streaming services reported cancelling a subscription.

More than two thirds — 68 per cent — said they had increased their purchases of Canadian products.

Dallaire said there are “large proportions of Canadians who are willing to put money where their mouth is.”

“They’re not happy and they’re finding alternative ways to spend their money, trying to support more local products, move away from American products or brands,” he said. “And so it’s a pretty significant movement.”


The polling industry’s professional body, the Canadian Research Insights Council, says online surveys cannot be assigned a margin of error because they do not randomly sample the population.

This report by The Canadian Press was first published Feb. 21, 2024.

Anja Karadeglija, The Canadian Press

Canada can legally challenge tariffs, but will Trump fall in line with the ruling?
February 21, 2025 

Rolls of coiled coated steel are shown at Stelco, in Hamilton
 THE CANADIAN PRESS/Peter Power

If U.S. President Donald Trump imposes tariffs on Canadian goods as he’s repeatedly threated to do, experts say Canada has a strong case to challenge it under the Canada-U.S.-Mexico free trade agreement.

The question, though, is how quickly any decision may come through the process — and more importantly, whether the U.S. would respect any decisions from the outcome.

“A rules-based system is only as good as the willingness of the government who’s subject to it, to comply with it,” said Wendy Wagner, a partner at Gowling WLG.

The free trade agreement is a nation-to-nation agreement, so there’s no one else to appeal to if a country decides not to respect a decision.

America’s past performance on adhering to trade decisions has been mixed. Areas of contention include complicated measures such as figuring out how much foreign content is in an automobile or the long-running softwood lumber dispute.


What Trump has threatened, though — blanket 25 per cent tariffs on Canadian goods, with the exception of 10 per cent tariffs on energy — doesn’t contain much grey area, said Wendy.

“We’re not arguing around the edges here,” she said.

“There couldn’t be anything more offensive to a free trade agreement than a 25 per cent across-the-board tariff on all the products that originate from that country. It’s the most blatantly antithetical measure that you could impose.”

Enforcing the law

The blatancy of the threatened measures do bring into question whether any ruling through treaty channels will have much impact, Wagner said.

“There’s a larger issue about the extent of adherence to a rules-based system, both internationally and domestically.”

The U.S. has already shown a disregard to findings in the past. When it imposed metal tariffs in 2018 the World Trade Organization ultimately ruled in favour of China that the move wasn’t allowed, but the U.S. refused to comply.

Canada could also decide to challenge this round of tariffs at the WTO, as well as through CUSMA.

Based on the rules of the regional treaty, Canada could launch a challenge which would prompt mandatory consultations between countries within 30 days of filing the complaint.

If there’s no resolution through that step, the next would be to establish a dispute settlement panel. It acts as a sort of tribunal and goes through the process of hearing arguments and evaluating the evidence and produces a report on its findings.

The time it takes to get through a complaint varies, but past cases have generally run around a year to a year and a half, Wagner said.


The complaints process

The dispute panel’s report sets out what the offending country needs to do to fix the trade issue.

If the U.S. didn’t comply, then Canada would be allowed under the system to impose dollar-for-dollar counter measures.

This is something Prime Minister Justin Trudeau has already said the government will do as soon as the U.S. imposes tariffs, but technically Canada will also be in violation of the treaty if it imposes counter-tariffs ahead of the process.

While Canada may have to get ahead of the process to respond given the scale of the threat, it’s still important it goes through the treaty steps to get to the same result, said Clifford Sosnow, a partner at Fasken Martineau DuMoulin.

“Ultimately the result of the (grievance) process is compliance, and if there’s no compliance, retaliation, and so in many ways, you’re back to square one,” he said.

“But symbolically and legally, it has important aspects to it, because it effectively for Canada is an affirmation of the importance of the agreement.”

Going through the process will also force the U.S. to participate and submit to the process. That makes it harder for it to say it’s abandoning the whole treaty, said Sosnow.

“Effectively it creates some stickiness between a president who’s already poorly disposed towards the agreement, and at the same time affirms the legitimacy of the agreement.”

Committing to the treaty

For Canada, following the legal steps also affirms that the legal structure is the way to resolve disputes, he said.

“In other words, a rules-based system as opposed to a power-based system. So there’s both strategic value to this (and) there’s symbolic value to it.”

A U.S. refusal to participate in the process would effectively renounce the whole treaty, a sharp contrast to Trump’s apparent position that he wants a better version of the treaty he originally agreed to when negotiations open up on June 1, 2026.

“It would be effectively a highly, highly controversial, and in fact I would suggest an unprecedented, repudiation of the agreement.”

A full abandoning of the treaty would be much more significant than Trump’s tariffs, which he claims to be doing over national security concerns at the border. While the claims are tenuous at best, Sosnow said, they’re at least still within the framework of the treaty.

“The logic of that is very poor, the logic of that is very weak, but that’s the tenuous connection to the agreement.”

When Trump last imposed tariffs on Canadian steel and aluminum in 2018, the process was resolved through counter-tariffs and diplomacy, not through the treaty process.

The last round had Canada agree to several measures to limit exports of what the U.S. considered subsidized metal, but Sosnow said Trump has made it clear he’s not interested in a measured solution.

“That seemed to mollify the president (in 2018). Right now, the president is saying, ‘I won’t be mollified by that the second time around.’”

This report by The Canadian Press was first published Feb. 21, 2025

Ian Bickis, The Canadian Press





Friday, February 21, 2025

As Trump flags timber tariffs soon, B.C. minister says impact would be ‘devastating’

Provincial and federal governments need to continue to make the case that while such tariffs hurt Canadians, they will also hurt Americans. “Whether it’s the wildfires in California, the hurricanes in North Carolina, the cost of doing business, the cost of rebuilding their homes is going to skyrocket in those states.
February 20, 2025 

President Donald Trump steps off Air Force One upon arrival at Miami International Airport, Wednesday, Feb. 19, 2025, in Miami. (Photo image via AP)

B.C.‘s Forests Minister Ravi Parmar says the expectation of more duties and additional tariffs piled onto Canadian softwood lumber would “absolutely be devastating” for the country’s industry.

Parmar says the government expects the U.S. Commerce Department will issue anti-dumping duties by Friday of as much as 14 per cent, on top of the current 14.4 per cent duty.

It comes after U.S. President Donald Trump told media on Air Force 1 that his administration was eyeing a 25 per cent tariff on lumber some time around April.

Parmar says he knows many forestry workers are going to be worried about their jobs and he’ll continue to fight for them.

He says the extra tariffs are “very likely” and Canada should take Trump at his word.


Trump has paused his threat of tariffs until March 4, but says he still plans 25 per cent tariffs on all Canadian goods and a 10 per cent levy on imports of Canadian energy.

Canadian steel and aluminum have already been singled out for 25 per cent tariffs.

Parmar was recently in California, where 16,000 buildings were destroyed by wildfires, meeting with builder groups who said they need Canadian lumber, not only to rebuild, but to prepare for FIFA events next year and hosting the Olympic Games in 2028.

“Imagine the president going to Los Angeles in 2028 to host the Olympics — I understand the guy likes to host parties — and as part of that being in a city that hasn’t been able to rebuild because of the tariffs and duties he has put on goods from British Columbia, goods from Canada,” he told reporters in Victoria. “It’s ludicrous.”

Canada’s forestry sector recently described the threatened tariffs as unnecessary and unwarranted, given that the United States currently meets only about 70 per cent of its homebuilding lumber needs domestically and uses Canadian lumber to fill the gap.

If the threatened 25 per cent tariff is added to current and pending duties, the combined total on softwood exports to the United States will be closer to 50 or 55 per cent, Parmar said.

The U.S. last raised duties on softwood lumber from Canada last August from 8.05 per cent.

Parmar said he has already asked the federal government to support the industry under the threat of tariffs with loan guarantees and worker support.

“It’s important that we keep this industry going and those workers employed.”

He said provincial and federal governments need to continue to make the case that while such tariffs hurt Canadians, they will also hurt Americans.

“Whether it’s the wildfires in California, the hurricanes in North Carolina, the cost of doing business, the cost of rebuilding their homes is going to skyrocket in those states.

“It’s important for the residents in those communities to know that those are the actions of their president.”

This report by The Canadian Press was first published Feb. 20, 2025.

Saturday, February 15, 2025

Home builders warn of ‘brutal blow’ to housing sector from steel, aluminum tariffs

AND DON'T FORGET THE PERRENIAL 
TARIFF TARGET; SOFTWOOD LUMBER
February 11, 2025 



A crane on a building under construction in Montreal, Thursday, November 14, 2024. THE CANADIAN PRESS/Graham Hughes(Graham Hughes/The Canadian Press)

Some developers say looming U.S. tariffs on Canadian steel and aluminum could be detrimental to the housing sector due to higher costs of key construction materials.

The Ontario Home Builders' Association, which represents more than 4,000 companies offering services such as development and renovation, said the tariffs could prompt an economic slowdown and lead to decreased investment in residential real estate.

The group’s CEO Scott Andison warned that could be “a brutal blow to the housing sector and therefore to housing affordability.”

“When you throw something as dramatic as trade tariffs into an environment that’s already suffering from low margins, high interest rates and high input costs, the potential for costs ... going up makes builders quite nervous,” he said in an interview

“This is just something that puts the development market into a bit of chaos.”


U.S. President Donald Trump signed an executive order on Monday to levy 25 per cent tariffs on steel and aluminum imports to his country beginning March 12 — a move that Canadian Chamber of Commerce president and CEO Candace Laing called “wrong on so many levels.”

Laing said Trump’s decision “makes it clear that perpetual uncertainty is here to stay.”

It comes amid Trump’s threat of 25 per cent across-the-board tariffs on Canadian imports, with a lower 10 per cent levy on Canadian energy. Trump has delayed those until at least March 4 in response to border security commitments.

Data from the U.S National Trade Administration shows the U.S. is Canada’s largest market for aluminum, with over three million tonnes exported to the U.S. last year.

BMO economist Robert Kavcic said Canada’s total steel and aluminum exports to the U.S. last year were $35 billion, or roughly one per cent of GDP.

Andison said an increase in the cost of construction materials would raise Canadian home prices at a time when the sector is already struggling to keep up with rising costs due to inflation.

He said input costs for materials such as lumber rose during the pandemic and never returned to pre-COVID levels.

“When you start making Canadian products less of interest to other markets such as south of the border in the U.S., that reduces the amount being produced because markets have decreased outside of Canada,” said Andison.

“And when you start reducing the amount that’s being produced, the cost of domestic sales obviously goes up.”

Potential retaliatory tariffs could also play a role in making housing more expensive, he said, noting around $20 billion in Canadian steel and aluminum products are sent south of the border per year.

Andison said two-way tariffs on a broad range of construction materials beyond just steel and aluminum — such as cement, gypsum and lumber — could drive up costs “into a crazy level that makes any construction unviable.”


“Right now, our builders can build homes, but the problem is that they would have to build them at a price that consumers cannot afford, particularly first-time homebuyers,” he said.

“They’re looking at numbers that are just in many ways outside of their scope.”

Friday, November 15, 2024

 

Markets for forest products respond to technology



New Southern Forest Outlook report now available



USDA Forest Service ‑ Southern Research Station





Asheville, NC — Technology is changing every facet of the forest products market. That may mean fewer jobs in the future as the industry shifts to labor-saving technology, with the steepest declines in the pulp and paper sector, according to a new report released by the USDA Forest Service’s Southern Research Station and Southern Region, as well as the Southern Group of State Foresters.

“From how trees are cut, to how they are processed at sawmills, and every step in between, technology is changing the industry,” said Forest Service scientist Jeff Prestemon who specializes in forest economics. “Researchers are partnering with the forest products industry to find ways to recycle and use materials that typically would be discarded as waste.”

Prestemon co-authored the report – Markets in the Southern Forest Outlook – with economist Jinggang Guo from Louisiana State University.

The new report analyzes six scenarios for the future and how each might impact the forest products markets in the South. The analysis considers how changes in income, population, climate, technology, and trade openness could affect markets.

The report also found:

  • The South is projected to continue to be a net exporter of forest products.
  • Prices of industrial roundwood are projected to rise, reversing recent downward trends.
  • If mass timber were more widely used, the southern softwood market would strengthen.
  • Additional trade barriers would enhance softwood exports and reduce hardwood exports.
  • Most scenarios project a growth in wood pellet production in the South.

The report is part of a regional assessment, known as the Southern Forest Outlook. Its goal is to inform forest sector decision makers and the interested public about observed trends, anticipated futures, and critical issues based on authoritative synthesis and interpretation of existing science, data, and projections. This is the first of four reports that will be released in the coming months. A report on water is expected next month.

For decades, Forest Service scientists have conducted region-wide assessments of natural resources in the South. In fact, results from past assessments were used to develop research priorities for the Southern Research Station, including fire, water, markets, and restoration. The Southern Research Station and the Forest Service’s Southern Region work closely with the Southern Group of State Foresters, and the results of the markets report are organized by state.

The Southern Forest Outlook relies on the same core scenarios as the 2020 Resources Planning Act Assessment, which in turn relies on climate projections developed by the 2014 Intergovernmental Panel on Climate Change. The four main scenarios vary along two axes: high, moderate, or low amounts of economic growth and warming. The research team modified two scenarios to explore how markets would be affected if mass timber became more widely used in construction and if existing forest product trade restrictions were tightened.

“Wood is actually a new trend in sustainable building,” said Prestemon. “Mass timber, as it’s called, is produced to be strong enough to replace concrete or steel. If mass timber continues to catch on, then the South’s softwood market would grow.”

In all scenarios, the number of jobs across forest product sector is projected to decline. The steepest declines are projected for the paper manufacturing sector, due to labor-saving technologies and reduced demand for newsprint and printing and writing paper. The pulp and paper sector also includes packaging and sanitary papers, which is closely related to economic growth and are generally not projected to decline, and wood pellets. Wood pellet production is projected to rise across all southern states except in the scenario that combines high warming and low economic growth. The chapter also includes a section on the market effects of the COVID-19 pandemic.

The new report builds on the Southern Forest Futures Project, which was completed in 2012. Since then, the southern forest products sector has experienced significant changes including rising timber inventory, declining softwood timber prices, increased barriers to international trade, and continued contraction of the forest sector workforce despite growth in production.

Read the report

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About Us 

The Southern Research Station, headquartered in Asheville, N.C., is comprised of more than 100 scientists who conduct natural resources research in 20 locations across 13 Southern states, from Virginia to Texas. The station’s mission is to create the science and technology needed to sustain and enhance southern forest ecosystems and the benefits they provide. Learn more about the Station.

The Forest Service’s Southern Region oversees 14 national forests and two special units in 13 states and Puerto Rico, working with states and private landowners to sustain the health, diversity and productivity of forests and grasslands to meet the needs of present and future generations. Learn more about the Southern Region.

The Southern Group of State Foresters represents state forestry agencies within the 13 Southeastern U.S., and the U.S. territories of Puerto Rico and the Virgin Islands. Its members collectively provide leadership, coordination, expertise and resources to sustain the economic, environmental, health and societal benefits of Southern forests. Learn more about the Southern Group of State Foresters.