“I am writing to raise concerns about the current work stoppage affecting Canada’s West coast ports. We are now a week into the work stoppage and urgent federal action is required to resolve this dispute and mitigate economic damage to the country,” the premier said in a letter dated July 8.

“The negotiations taking place between the International Longshore and Warehouse Union (ILWU) and Canada and the British Columbia Maritime Employers Association (BCMEA) are of utmost importance to Alberta. While we respect the collective bargaining process, we are very concerned about the effects of a prolonged work stoppage on Albertans and Canadians as they deal with serious inflationary pressures,” Premier Smith stated.

The letter comes after Smith and Trudeau briefly met on July 7 to discuss shared priorities and pressing issues such as wildfires, carbon emissions and the B.C. port workers strike, among others.

In a statement, the prime minister’s office said, “The two leaders spoke about the port strike on the West Coast and reaffirmed their commitment to finding a resolution.”

In her letter, the Alberta premier reiterated the negative impact of the job action to Alberta’s exports. Some 7,400 port workers who are ILWU members walked off the job on Canada Day, paralyzing some of Canada’s busiest ports located in B.C. The strike prompted businesses and associations, including the BC Council of Forest Industries, to call for an end to the protests.

Below is the rest of Premier Smith’s letter.

“The stoppage of trade at the ports will have significant negative economic consequences that undermine both Alberta’s and Canada’s competitiveness and reputation as a reliable supplier to international customers. In 2021, $12.4 billion of Alberta’s merchandise exports, including grains and mineral and forest products, were shipped via the ports of Vancouver and Prince Rupert. An overall $500 million worth of cargo such as agri-foods, potash and critical minerals, and household necessities are handled by the BCMEA’s member terminals every day.

“Prominent Canadian shippers have made it clear that the work stoppage is already affecting the flow of goods, including perishable goods. Should this labour disruption continue, it will have an increasingly severe impact on the livelihoods of Albertans, Canadians and Canadian businesses who rely on the safe and efficient flow of our supply chain. Experts are also warning that the economic damage could take months to correct after work resumes.

“Canada’s supply chains have been negatively affected in recent years by various events, including the COVID-19 pandemic, extreme weather, and other labour disruptions within the transportation sector. For these reasons, Alberta supports an immediate recall of Parliament for the consideration of legislation to resolve this critically important issue.

“I would also like to point out that the federal government used legislation in 2021 to end a walkout by Port of Montreal dock workers after one day. This level of federal urgency is in sharp contrast to the current situation, in which inaction continues to cause economic damage to western supply chains, businesses and consumers.

“While proactive federal measures could have prevented this current situation, I urge your government to develop a new process for addressing the risk of work stoppages at ports in the future. The federal government must ensure labour stability and support a resilient supply chain to protect our economy and the Canadians who rely on it.”

The transaction establishes a long-term partnership between the two companies in the region. Pursuant to the transaction, West Fraser will continue to supply fibre to the Hinton mill under long-term contract, via residuals from West Fraser’s Alberta sawmills. Mondi’s intention, subject to pre-engineering and permitting, is to invest €400 million in the expansion of the Hinton mill, primarily for a new 200,000 tonne per annum kraft paper machine, anticipated to be operational from the second half of 2027.

“This transaction creates a sustainable long-term future for the pulp mill, while maintaining the integrated fibre supply chain in place with West Fraser’s operations in the region,” said Ray Ferris, West Fraser’s president and CEO.

“The relationship with Mondi puts the Hinton pulp mill in the hands of a global industry leader, with the vision and experience to maximize opportunities for local employees and the community. We look forward to a mutually beneficial long-term relationship with Mondi and our other stakeholders in Alberta.”

Mondi is an integrated packaging and paper company employing 22,000 people across 100 production sites in more than 30 countries. Mondi has a premium listing on the London Stock Exchange and a secondary listing on the Johannesburg Stock Exchange.

Commenting on the acquisition, Andrew King, Mondi Group CEO, said: “We are delighted to be making this investment in Canada and look forward to working with our Hinton colleagues, West Fraser as a long-term partner, and other local stakeholders towards improving the mill’s environmental footprint and securing its sustainable future.”

West Fraser expects to record a significant impairment loss in connection with the disposal of the Hinton pulp mill given the nominal proceeds. The estimated carrying value of the assets and liabilities being disposed of were $115 million and $111 million as of December 31, 2022 and March 31, 2023, respectively.

The transaction is anticipated to close following successful completion of customary regulatory reviews and satisfaction of customary conditions.

TD Securities Inc. is acting as exclusive financial advisor and McMillan LLP is acting as legal advisor to West Fraser.

In 2021, Natural Resources Canada (NRCan) contributed $8.5 million through the Investments in Forest Industry Transformation (IFIT) program to Mercer Peace River Pulp Ltd. Today, Minister of Natural Resources Jonathan Wilkinson is pleased to announce that this contribution has resulted in a new, state-of-the-art woodroom.

“Canada’s forestry sector has supported livelihoods across the country for generations. Smart investments in innovative processes and technologies can increase efficiency and competitiveness while also lowering emissions. This investment has resulted in a cutting-edge woodroom and shows how we can create jobs, increase sustainability and grow the economy in communities across the country,” Wilkinson said.

The equipment installed in the new woodroom includes innovative and first-in-kind debarking, chipping and monitoring technologies. These new processes are improving how wood fibre is procured and processed at the mill, resulting in a more optimized use of wood fibre. In addition to using less wood to produce pulp, this initiative also minimizes the mill’s environmental impact by lowering its greenhouse gas emissions through an increase in efficiency and a reduction in fossil fuel consumption.

“The completion of the new woodroom at Mercer Peace River has created a more sustainable business model, transformed the fibre procurement process, improved environmental performance and created several long-term career opportunities. We are proud to have completed this significant milestone that will enhance our region’s economy for decades to come,” said Roger Ashfield, managing director, Mercer Peace River Pulp.

The pulp produced at Mercer’s Peace River Pulp mill, sourced from sustainably managed forests, is known for its high quality, low environmental impact and consistent performance. The construction of Mercer’s new, state-of-the-art woodroom represents its commitment to continued growth, environmental performance and the creation of sustainable jobs.

By using advanced equipment and processes, Mercer’s new woodroom represents a step forward in promoting sustainable resource management and business practices. It will provide employment opportunities, support economic growth and help Canada achieve its environmental goals and mitigate climate change.

The IFIT program facilitates the adoption of transformative technologies and products by bridging the gap between development and commercialization. It aims to create a more competitive and resilient forest sector with a focus on low-carbon projects that result in new or diversified revenue streams.

“The BC Council of Forest Industries calls for all parties – employers, unions, and the provincial and federal governments – to come together urgently to resolve the labour dispute at Canada’s west coast ports. Forest products are a major export for British Columbia, with about $15 billion worth of forest products exported annually, representing about one-quarter of merchandise exports from B.C. In fact, in 2022, forest products represented about 15 per cent of all the cargo flowing through the Port of Vancouver,” Coady said.

Some 7,400 port workers – all members of International Longshore and Warehouse Union Canada have been on strike since the Canada Day weekend. Contract talks between the union and the BC Maritime Employers Association broke down on July 3.

“The shutdown of our ports landlocks our products and prevents them from getting to market, especially overseas. Asia is a growing market for B.C.’s high quality forest products and is critically important for British Columbia as we strive to reduce our reliance on the United States due to the ongoing softwood lumber dispute,” Coady added.

“We are already feeling the impacts of this one-week dispute. Forestry operates in a globally competitive marketplace and requires dependable transportation routes to deliver our products. A prolonged dispute will erode market confidence and more importantly, directly impact our operations, our employees, and forestry-dependent communities around the province.”

British Columbia’s forest products exports are worth about $15 billion annually, with forest products making up 23 per cent of merchandise exports from B.C.

In a statement, COFI said the forest industry is foundational to regional economies, communities and jobs across B.C., contributing $13 billion to the province’s GDP annually and paying $8 billion in wages, salaries and benefits. The association added that close to 120 Indigenous Nations or affiliated organizations are active participants in B.C.’s forest industry, which generates $4 billion in government revenue to support health, education and more.

Click here for COFI’s full statement.

Terry Duguid, Member of Parliament for Winnipeg South and Parliamentary Secretary to the Minister of Environment and Climate Change, on behalf of Minister of Natural Resources Jonathan Wilkinson; Manitoba’s Minister of Natural Resources and Northern Development Greg Nesbitt; and Manitoba’s Minister of Environment and Climate Kevin Klein, has announced Manitoba’s multi-year tree-planting agreement, which benefits from a federal contribution of $8.85 million under the 2 Billion Trees (2BT) program. Additionally, the Government of Manitoba is contributing $8.85 million to this initiative.

“Manitobans are proud of our provincial forests and our urban canopies. Our trees capture and store carbon pollution while providing us with an abundance of clean air and habitat space for wildlife. This investment to plant one million trees annually in Manitoba will fight climate change while strengthening our province’s precious green spaces for generations to come,” said Duguid.

Wilkinson added, “Trees are essential to our lives — they capture carbon, improve air quality and support wildlife — and they are important allies in our fight against climate change. That’s why Canada has committed to planting two billion trees. Through this investment to plant over 1 million trees annually across Manitoba, we are showing how collaborative work between the federal government and our provincial partners can ensure that the right tree is planted at the right place at the right time.”

Under this nine-year agreement, Manitoba will plant up to 1 million additional trees annually. Seedlings will be planted on forest lands that have been affected by wildfires and other natural disturbance events, and large saplings will be planted annually in rural, urban and Indigenous communities. These trees will reduce greenhouse gas emissions in Manitoba by an estimated 52,473 metric tonnes of carbon dioxide by 2050, the equivalent to taking 16,076 vehicles off the road.

The Indigenous projects are intended to facilitate Indigenous participation on reforestation initiatives through capacity building, planning and site selection, seed collecting, preparation and monitoring. Earlier this spring, the 2BT program supported a planting project in Norway House Cree Nation, providing employment and skills training for 19 community members to establish new forest. Manitoba provided 50,000 conifer seedlings, funding to pay the planters and in-kind training for the project.

In 2023, Manitoba will focus on identifying more planting sites and partners as well as prepare areas for planting. In 2024, large-scale planting will begin. Since 2018, Manitoba has planted 8.6 million trees, an average of 1.7 million per year.

The Government of Canada’s 2 Billion Trees program is helping to clean the air, keep neighbourhoods cool in the summer, create jobs and fight climate change while protecting nature. By working together with provinces, territories, local communities and Indigenous Peoples, Canada continues to build a strong, healthy future for generations to come.

Now in its seventh year, Dust Safety Week’s landing page is the year-round hub for forest products manufacturers – pellet plants, sawmills and pulp and paper operations – to learn best practices and find the latest information to keep their operations and operators safe.

Follow along all week as we will highlight feature stories, columns and research reports both from our archives as well as brand-new stories from contributors across Canada.

Find the landing page here, and stay tuned to our websites and social media (#DustSafetyWeek) for more information as we approach Dust Safety Week 2023!

Thank you to our generous sponsors for making Dust Safety Week possible: Biomass Engineering & Equipment, Fagus GreCon, Rembe, Fike and Nilfisk.

On July 5, Taleeb Noormohamed, Member of Parliament for Vancouver Granville, on behalf of Minister of Natural Resources Jonathan Wilkinson, announced a $3.5-million contribution to the construction of 2150 Keith Drive, an innovative hybrid mass timber commercial office building in Vancouver’s False Creek Flats neighbourhood. The contribution will be made through the Green Construction Through Wood (GCWood) Program that supports projects and activities that increase the use of wood as a low-carbon construction material in infrastructure projects.

“To reach our climate goals, Canada must reduce emissions in our building sector. By utilizing mass timber, we can increase efficiency and climate resilience in our communities while also lowering emissions. Supporting projects like 2150 Keith Drive shows Canada’s commitment to developing and deploying innovative practices and materials in our construction and buildings sector. This will support jobs and economic opportunity across the country and help to fight climate change,” Wilkinson said.

Featuring a unique honeycomb-shaped exterior, 2150 Keith Drive will be 10 storeys tall and over 15,000 m2. It will be constructed with advanced mass timber systems using prefabricated cross-laminated timber panels and glue-laminated timber columns, braces and beams. Due to its wooden braced-frame system on the exterior, the design eliminates the need for an interior concrete core, thereby reducing its environmental impact. The replicable shape of its exoskeleton design also makes it ideal for more sustainable, cost-efficient and green construction. The building is the tallest braced-frame mass timber project or building in North America and will employ an innovative seismic resistance system. Furthermore, the building is targeting a minimum LEED Gold certification with construction expected to be complete in 2025.

The project is also supported by the province of British Columbia through the NetZero Energy Ready Program and a $500,000 contribution from the Mass Timber Demonstration Program (MDTP). The MTDP provides funding for incremental costs in the design and construction of buildings that demonstrate emerging or new mass timber or mass timber hybrid building systems and construction processes.

The Government of Canada continues to support innovation and advancements in mass timber construction in Canada. With the increased availability of new building materials on the market, mass timber has the potential to support a significantly more sustainable construction across the country. This means lower emissions and more resilient communities, all while providing jobs and economic opportunity across the forest products and construction value chains.

“The DIALOG design team is grateful for the financial support from Natural Resources Canada that has driven the development of innovative design and construction strategies that are economical, replicable and an important part of a sustainable future,” said Justin Tompson, senior architectural technologist, associate, DIALOG.

Outgoing CEO Craig Tompkins will serve as a strategic advisor to the Board of Directors of Wood Technologies to help continue to guide the company.

“We are proud to have Dale step into this role after eight years of leadership at the company,” said Rob Sivitilli, chairman of the board of Wood Technologies. “We thank Craig for his efforts at leading the effective integration efforts after the merger of USNR and Wood Fiber Group and for helping drive two subsequent complementary acquisitions, all which built Wood Technologies into an industry leader today.”

Brown has had a 37-year tenure with Wood Technologies and predecessor company USNR, starting his career there in 1986 as an accounting data entry clerk, working his way up through various roles in USNR’s accounting, sales and executive operations departments. Past positions included chief accountant, controller, vice president, senior vice president, and CEO of USNR in 2018. Brown was named president of Wood Technologies upon the USNR/Wood Fiber Group merger in 2021.

“I thank the board for entrusting me as the next leader of Wood Technologies, and I look forward to working with our great team whose hard work has contributed to our success,” said Brown. “Craig has been a first-rate colleague over the last year as we’ve built an industry leader with tremendous potential. I thank him for his efforts and wish him well in retirement.”

Tompkins helped spearhead the merger of Wood Technologies’ predecessor companies: mill automation, equipment supplier and technology system integrator USNR, and sawmill parts supplier/manufacturer Wood Fiber Group, in November 2021. This combination of highly complementary product offerings and customer bases enabled Wood Technologies to become a leading supplier in the industry, with 1,500 employees and 30 operating sites.

Tompkins also helped lead and integrate Wood Technologies’ July 2022 acquisitions of Timber Automation, a provider of custom engineered equipment, aftermarket parts, controls and optimization systems; and The Knife Source, a manufacturer of machine knives used in waste wood chipper machines and brush chipper equipment.

“Craig’s skill in uniting Wood Technologies’ predecessor businesses created a leading wood processing brand well positioned for future growth,” said Brown. “Craig fostered a positive business culture enabling strong performance, evidenced by strong revenue growth and record levels of backlog over the last few years. He leaves a great legacy at Wood Technologies that we will work steadfastly to maintain.”
“I am immensely proud of my time at Wood Technologies, where I got to work with fantastic people — including Dale — over the past eight years,” Tompkins said. “With Dale at the helm, I can walk away confident that the company is in great hands and that it will achieve even greater success.”

“Bark beetles and storm damages pose significant threats to forest health, resulting in substantial economic and ecological consequences,” said Jarkko Lipponen, co-founder and CEO of CollectiveCrunch. “Detecting the early signs of bark beetles, and monitoring changes such as storm damage in near real-time, is vital for forest owners to take swift and appropriate actions to mitigate their impact.”

In response to this critical need, the joint effort that was initiated in December 2022 has culminated in the development of an advanced AI-based solution that enables an early detection of bark beetle outbreaks and near real-time monitoring of storm damages in forest ecosystems.
AI-based solution detects early signs of bark beetles and stress in specific forest areas

By analyzing a combination of various data sets, the AI-powered solution detects subtle patterns and anomalies associated with bark beetle infestations. It allows forest owners to access near real-time information and precise location-based insights to effectively combat the risks posed by bark beetles and storm damage.

“The solution developed through the collaboration between Metsä Group and CollectiveCrunch goes beyond detecting bark beetle outbreaks and storm damages. It also has the capability to identify forest areas under stress, providing forest owners with valuable information about ecosystem health and risks,” Lipponen said. “The solution can detect dead trees, enabling a deeper understanding of the biodiversity values within forests. By comprehensively assessing the condition of forests, this technology empowers forest owners to make informed decisions regarding sustainable forest management practices, while promoting the preservation of vital biodiversity and ecological balance.”

Actionable information for efficient decision-making

“By combining data with CollectiveCrunch’s AI capabilities, we are empowering forest owners with the tools they need to protect their valuable resources,” said digitalisation director Olli Leino at Metsä Group. “Forest owners can now proactively identify areas vulnerable to bark beetle outbreaks, including influences from storm damages. With early detection, prompt action can be taken, preserving the health and productivity of forests while ensuring sustainable management practices. The ability to detect and address these threats efficiently brings significant value to forest owners, safeguarding their investments and contributing to the long-term resilience of forest ecosystems.”

Metsä Group is currently finalizing integrations and piloting the product. Customers will be able to access the product through Metsä Group’s application starting in August.

“The collaboration between Metsä Group and CollectiveCrunch highlights the power of industry-leading expertise and technological advancements in addressing the pressing challenges faced by the forestry sector,” Lipponen concludes. “We are delighted to provide forest owners with a solution that enables them to carry through their commitment to responsible and efficient forest management.”

The Communitas Awards celebrate organizations that have social responsibility practices at the core of their operations and demonstrate a high level of community awareness. Recently, the WBCF was among five Canadian winners of the Communitas Awards in the Excellence in Community Service category. The award recognizes WBCF’s involvement in community, its efforts to protect local natural resources, and the investment of its resources to support community-based initiatives and groups.

The WBCF was also excited to learn it had received an honourable mention in the 2023 Hermes Creative Awards recognizing its rebranding project. The Hermes Creative Awards celebrate organizations and individuals worldwide committed to pushing the creative boundaries of information and technology through traditional and digital platforms. The WBCF project refreshed its branding to visually acknowledge its mission to care for wildlife, water, the airshed, and of course, the trees.

“We are so honoured for the West Boundary Community Forest to receive these acknowledgements,” said Ross Elliott, WBCF board secretary and founding member. “Our collective efforts continue to make significant contributions to the community and help us sustain an effective model for community service. These awards are a further testament to that work.”

The WBCF Board would like to thank community volunteers and professional foresters who dedicate their time and resources to help create healthy forests and health communities.

The prototype trailer, developed in collaboration with Deloupe, features an electric drive axle implemented by FPInnovations with support of Voltari Power, a subsidiary of Voltari Marine Electric, and shows the possibilities for the forest transportation sector to fight climate change.

“We are very excited with these amazing results, which not only meet our goals of reducing greenhouse gas emissions and fossil fuel consumption, but also demonstrate the potential of FPInnovations and its partners to develop promising greener technologies for the forest transportation sector,” said Stéphane Renou, president and CEO, FPInnovations

The project was made possible thanks to an investment totalling more than $1.8 million provided through Natural Resources Canada’s Clean Growth Program and its Forest Innovation Program, Québec government’s Innov-R program through the research and development consortiums (InnovÉÉ), and British Columbia’s Ministry of Forests.

“To reduce harmful greenhouse gas emissions and help fight climate change, we need to develop and deploy non-emitting solutions in every sector of the economy. The promising work done by FPInnovations shows that Canadian innovators can implement these solutions to help drive sustainable economic growth,” said Minister of Natural Resources Jonathan Wilkinson.

If electric trucks are emerging, major challenges remain for heavy and long-haul applications; including transport range, the lack of infrastructure solutions such as recharging stations, or other low-carbon fuel supply infrastructure on resource roads (which are typically remote). FPInnovations is leading the way by implementing innovative projects that will have a real impact on the forest transportation sector. The tests performed on hybrid electric tractor semi-trailer achieved average fuel savings of 12% and showed potential annual GHG emission reductions of 23 tonnes of CO2 equivalent (CO2 eq) per vehicle.

“We are proud to collaborate on this project in partnership with FPInnovations. The entire Deloupe team was committed in the production of the prototypes used for the tests. The results obtained confirm that this project will bring cost-efficiency to users while helping to reduce the environmental impact of transport. Deloupe is proud to contribute to the discovery of alternative solutions to enable the transportation sector to be in symbiosis with environment challenges,” said Pierre-Luc Lavallée, general manager, Deloupe.

Compelling results

This first series of road tests used a semi-trailer where one of the conventional axles is replaced with a drive axle powered by an electric motor and high voltage components. The trailer also includes a safety system consisting of load cells that monitored push-pull interactions between the trailer and the truck. At the end of its useful life, the entire electric system can be reused when the trailer is being replaced. These tests also aimed at developing a proof of concept for a second phase, which involves the development of a biomass electric trailer as well as a more robust prototype for testing on forest roads.

The tests, conducted in February and March of 2023 according to the internationally recognized TMC Fuel Consumption Test Procedure – Type II RP 1102A (TMC, 2014), took place on a 105-km long paved road with an 89-km mountainous section and a maximum elevation difference of 355 m. In addition to showing superior dynamic behavior and shorter time cycles, results obtained demonstrate average fuel savings between 10.5% and 14.1% per test run, with results of 17.5% for the uphill section and 9.4% for the downhill section. These very promising results could even increase with the improvement of the prototype.

In terms of GHG emissions, the tests demonstrated an average reduction of 23.3 kg CO2 eq/100 km when the electric drive axle was activated on the hybrid electric tractor-trailer test vehicle. Based on an average annual driving distance of 100,000 km, the hybrid electric tractor-trailer prototype would show a potential annual GHG emission reduction of approximately 23 tonnes CO2 eq per vehicle, a value that could allow Canada to remove 7500 tonnes CO2 eq/year from its carbon balance.

The safety aspect was also considered during the tests. According to the drivers, the electric trailer system proved to be a good asset with the assistance of the electric axle; the drivers appreciated the power reserve and energy recovery on steep grades and stop-starts in rush hour congestion.

“While the union was at the Federal Mediation and Conciliation Service waiting for a response from the employer, we received a message from the mediators that the BCMEA walked away from the table,” ILWU Canada president Rob Ashton said in a statement.

“The union delivered a message to the federal mediators that the union will not walk away from negotiations, we are available every day, at any hour of the day. We expressed to the mediators our disappointment that the BCMEA had abandoned talks.”

In a statement, BCMEA said it has continued to advance reasonable proposals and positions in good faith with the urgent objective of making progress, reaching a fair deal, and ensuring ports are open and supply chains are stable and reliable.

“Rather than work towards an equitable deal, ILWU Canada seems to have entrenched their positions. The BCMEA has gone as far as possible on core issues,” BCMEA’s statement said.

The union stated that in an effort to find a way forward, the ILWU Canada bargaining committee met with federal mediators on Tues., July 4.

“We proposed a meeting with four of our direct employers to discuss with them directly a possible solution to the maintenance issue in the hopes of moving these negotiations forward.”

The union said it supports B.C. Labour Minister Seamus O’Regan’s call to immediately return to the bargaining table and remain until a deal is reached. In tweet on Tuesday, O’Regan said, “Federal mediators continue to support BCMEA and ILWU in their negotiations. We encourage both parties to immediately return to the bargaining table and remain there until a deal is reached. Collective bargaining is hard work but it’s how the best, most resilient deals are made.”

In response, the union said, “We call on the BCMEA to get back to the table and do the hard work necessary to reach an agreement. If the association will not negotiate, we call on the member employers to negotiate directly with the union. A negotiated settlement is possible, and we are capable of getting the job done.” 

The union explained that the key issue holding up a deal is the contracting out of maintenance work by employers. It added that BCMEA and its member companies had refused to agree on a regular maintenance document that is complete except for one sentence.

BCMEA said in a statement that ILWU Canada is “attempting to aggressively expand their scope and re-define Regular Maintenance Work far beyond what is set out in the industry-wide agreement, which has been legally well established for decades. Changing this definition would result in immediate and significant impacts to terminal operations. Under the current collective agreement, the ILWU exclusively supplies the labour force, however, it has been consistently unable to fulfill the trades work they have jurisdiction over. Further, ILWU Canada’s proposals for compensation are unreasonable, and well outside the established norm of union settlements in Canada.”

Click here to read BCMEA’s full statement.

Click here to read ILWU Canada’s full statement.

That week’s price is up by $49, or 14 per cent, from one month ago when it was US$358 mfbm.

Compared to the same week last year, when it was US$535 mfbm, that week’s price is down by $129, or 24 per cent. Compared to two years ago when it was US$1,048 mfbm, that week’s price is down by $642 or 61 per cent.

In the week ending June 23, 2023, the price of Southern Yellow Pine East Side 2×4 #2&Btr KD (RL) was US$400 mfbm. This is down by $10 or two per cent compared to the previous week when it was US$410 mfbm.

That week’s price is down by $99, or 20 per cent, from one month ago when it was US$499 mfbm.

Compared to the same week last year, when it was US$655 mfbm, that week’s price is down by $255, or 39 per cent. Compared to two years ago when it was US$916 mfbm, that week’s price is down by $515 or 56 per cent.

“Kings Wood Products expands our manufacturing base in Canada while adding to the mix of products we can offer our existing Industrial customers,” said Steve Rhone, president and CEO of Weston Forest.

“Kings has been a key customer of ours for decades, and this is a natural progression for both companies. They have an excellent reputation in their industry, and the Kings niche product mix is a logical addition to Weston’s existing Industrial offerings,” Rhone added.

“This new partnership with Weston Forest is the right direction for our business. Weston has been a trusted supplier of ours for a very long time, and this move provides the continuity we want for our people, and for our customers,” said Dennis Kings, president of Kings Wood Products.

This acquisition represents Weston’s sixth in the last decade and their second since the company was purchased by the Watermill Group in 2021.

The money will provide social, economic, cultural, and environmental benefits to these local communities, as well as educational opportunities concerning forest ecology and good land management practices.

“The West Boundary Community Forest has been an excellent source of income for the City of Greenwood and local non-profit groups such as the Greenwood library, the museum, Greenwood Community Association, Founders Day, and the Gold Rush car show to name a few, as well as for bursaries to post secondary students,” said John Bolt, Mayor of Greenwood.

The City of Greenwood has already used some of the dividends from WBCF to make remarkable changes in the community, including purchasing equipment for the city and completing ongoing repairs to aging infrastructure. “I would like to thank WBCF directors and our Community Forest Managers, Dan Macmaster and Peter Flett for their hard work and dedication to the shareholders,” Bolt said.

In agreement with Bolt is Doug McMynn, Mayor of Midway, and vocal supporter of the WBCF. “These dividend cheques serve as a reminder of the importance of community forests for the management of the lands for future generations,” added McMynn. “The money allows us to continue investing in our rural communities to the benefit of all residents. We are incredibly thankful for their excellence in operations which literally pays dividends to the community.”

WBCF has a mandate to sustainably manage a defined area for the benefit of the local forest and residents, with profits going back to local communities and organizations. Ross Elliott, long-time director of the WBCF, is pleased with the work and efforts of the shareholders, board of directors, and management team which have led to the success to date and allowed them to fulfill their mandate. “Each board member is proud to be part of WBCF and of what we have accomplished together,” he said.

Since 2017, WBCF has provided its shareholders with a total of $3,513,000 in dividends. This total does not include parts of their profits set aside for the purchase and development of the Outdoor Education Center (approximately $300,000) and the Silviculture contingency account (approximately $300,000). Elliott further expressed that the shareholders were “fully supportive and quite enthusiastic about both of these investments.”

In addition to the dividends to the shareholders, since 2017, the board of directors at WBCF has also provided grants to approximately 30 local groups in the total amount of $265,100 to date. These groups are comprised of local sports clubs, schools, societies, community organizations such as museums, libraries, and local food banks.

The Land and Resource Decision Making Agreement (LRDMA) is intended to support reconciliation and refine processes for land and resource decision-making that advance the implementation of the UN Declaration on the Rights of Indigenous Peoples and implements shared decision-making.

“We believe working in partnership with First Nations is the best approach to land and resource management,” said Murray Rankin, Minister of Indigenous Relations and Reconciliation.

“This agreement helps us to continue fostering a collaborative and respectful relationship with the Nlaka’pamux Nation Tribal Council as we work to advance shared land and resource decision-making, consistent with sustainability and Nlaka’pamux title and rights.”

The agreement includes Nlaka’pamux homeland and the NNTC member communities represented by Boothroyd Indian Band, Lytton First Nation, Oregon Jack Creek Band and Skuppah Indian Band located alongside the Fraser and the Thompson rivers.

Building on previous agreements between the Province and NNTC, primarily the 2014 Resource Decision Making Pilot Project Agreement, the LRDMA supports a refined working relationship between the parties. It advances the ability of the parties to work together collaboratively across multiple stages of decision-making, with the goal of efficient and cohesive outcomes and effectively advancing reconciliation between them.

“This is an important day for the relationship between our Communities and our People and the province of British Columbia,” said Chief Matt Pasco, tribal chair of the NNTC.

“We are sending a clear message together that after years of hard work in developing new, creative and different ways of dealing with land and resource decisions throughout the Nlaka’pamux homeland under a pilot agreement, today, this structure is being firmly recognized as how we engage and interact on land and resource matters going forward. Our Communities and People have been very disciplined in our work with the Crown over the years. The pathway forward is this principled one in which the best technical analysis, deep and respectful relationships, and recognition of the vital importance of lands and resources to our culture and way of life, are the foundations for how we make decisions together. No doubt, this will lead to further development of new policies, new ways of doing business together, and lead to greater recognition, respect and sustainable prosperity for all.”

Collaborative work through the LRDMA includes developing:

• frameworks to address reconciliation initiatives to expand the current efforts of the parties in advancing Nlaka’pamux self-government, economic and cultural well-being and the implementation of the United Nations Declaration on the Rights of Indigenous Peoples in their relationship;
• an effective and efficient shared decision-making process on land and resource management; and
• a process that encourages direct and early engagement between the Nlaka’pamux government, and land- and resource-use proponents.

The new agreement includes $2.1 million to support the implementation of the agreement over the next three years. An additional $400,000 was provided for governance and jurisdiction reconciliation initiative funding.

“This innovative program will help break down barriers to attract more women into the trucking industry,” said Premier Doug Ford. “As we build Ontario, we’re going to need all hands-on deck. That’s why our government is working hard to ensure that all skilled occupations are more accessible and welcoming for women and all under-represented groups.”

Led by the Women’s Trucking Federation of Canada, this free project will provide participants with up to 200 hours of training needed to obtain AZ (tractor-trailer) and DZ (straight truck) licenses. Instructors will use both virtual reality systems and in-cab, hands-on training to teach jobseekers how to operate a commercial vehicle, perform manoeuvres, conduct inspections, maintain the vehicles, and understand commercial vehicle systems and controls.

“Truckers are the everyday heroes who keep the wheels of our economy turning, and we need to ensure more people have a chance to explore these purpose-driven careers,” said Monte McNaughton, Minister of Labour, Immigration, Training and Skills Development. “I was proud to make Ontario the first province in Canada to guarantee truckers the right to access washrooms, and our government will continue to invest in training to ensure everyone in our community gets a shot at earning bigger paycheques for themselves and their families.”

The project will also cover training for forklift operation, defensive driving, workplace violence and harassment, and human trafficking awareness. After completing the program, the Women’s Trucking Federation of Canada will work with graduates to ensure they are employed as professional drivers.

“This investment in the trucking industry directly helps more people achieve fulfilling careers as professional drivers,” said Shelley Walker, CEO at Women’s Trucking Federation of Canada. “With a significant and growing skilled driver shortage facing Ontario’s trucking industry, this initiative is timely in both removing barriers to employment and supporting Ontario’s economy. We thank Premier Ford and Minister McNaughton for their leadership and support, and look forward to working with them on this incredibly important initiative.”

To remove barriers to participation, participants will be eligible to receive up to $1,000 for transportation and childcare support, $300 for equipment and a $400 weekly allowance. The first cohort of in-person training begins July 1 and will be available in Kitchener-Waterloo, the Greater Toronto Area, Ottawa, and London.

This project is funded through the government’s Skills Development Fund, an over $700 million initiative, which supports ground-breaking programs that connect jobseekers with the skills and training they need to find well-paying careers close to home.

Learn more: news.ontario.ca/en/release/1003205/ontario-providing-free-training-for-truck-drivers

The total construction monthly increase is largely attributed to more spending on single-family construction, It is consistent with the solid gains of single-family starts and the boosting builder confidence in May. Spending on single-family construction rose 1.7 per cent to a $371.3 billion annual pace. It was the first monthly increase since a series of negative growth rates that started in May 2022, amid the elevated mortgage interest rates. Compared to a year ago, spending on single-family construction was 25 per cent lower. Multifamily construction spending dipped 0.1 per cent in May. It was 20.4 per cent over the May 2022 estimates, largely due to the strong demand for rental apartments. Private residential improvement spending rose 3.4 per cent in May but was 2.7 per cent lower compared to a year ago.

Keep in mind that construction spending reports the value of property put-in-place. Per the Census definition: The “value of construction put in place” is a measure of the value of construction installed or erected at the site during a given period. The total value-in-place for a given period is the sum of the value of work done on all projects underway during this period, regardless of when work on each individual project was started or when payment was made to the contractors. For some categories, published estimates represent payments made during a period rather than the value of work done during that period.

The NAHB construction spending index, which is shown in the graph below (the base is January 2000), illustrates how construction spending on single-family has slowed since early 2022 under the pressure of supply-chain issues and elevated interest rates. Multifamily construction spending has had solid growth in recent months, while improvement spending has slowed since mid-2022. Before the COVID-19 crisis hit the U.S. economy, single-family and multifamily construction spending experienced solid growth from the second half of 2019 to February 2020, followed by a quick post-covid rebound since July 2020.

Spending on private nonresidential construction decreased by 0.3 per cent in May to a seasonally adjusted annual rate of $655.8 billion. The monthly private nonresidential spending decrease was mainly due to lower spending on the class of commercial category (-$2.2 billion), followed by the health care category (-$1billion).

Read more: Eye On Housing.

If you know of someone that is looking for a dynamic and skilled career as a forestry equipment operator, or if you are a contractor in need of a harvester or forwarder operator, check out the program details on how to apply and participate in the program.

The specialized nature of forest equipment requires skilled operators with a focus on safe, environmentally sustainable, and viable commercial operations. The forestry equipment operator training program is designed to prepare students for entry-level positions as mechanized forest equipment operators.

The report, Forest and Fire Management in BC Toward Landscape Resilience, highlights an urgent need to change how B.C.’s forests and landscapes are managed.

“Fire prevention and suppression policies over the past century have led to a buildup of fuel in our forests, and have contributed to the loss of natural firebreaks in some areas,” said Keith Atkinson, chair, Forest Practices Board. “These shifts, combined with forestry policies and climate-change effects greatly increase the risk of catastrophic wildfire. We’re already seeing the consequences this year, with its unusually early start and record-setting wildfires.”

Provincial government data indicates that 45 per cent of public land in B.C. is at high or extreme threat of wildfire. Catastrophic wildfire impacts human health and safety, housing and infrastructure, wildlife, climate and the economy. The direct cost of suppressing wildfire is rising and now averages $1 billion annually in Western Canada.

“We can’t afford to continue the status quo,” Atkinson said. “We need the B.C. government, jointly with First Nations, to lead the development of a vision and action plan that will align provincial priorities and actions to restore landscape resilience and coexistence with fire. Landscape fire management is the way to achieve this.”

Landscape fire management can proactively reduce the risk of catastrophic wildfires and restore landscape resilience through forest-fuel reduction strategies, such as creating fuel breaks, increasing the diversity of tree species, densities, and ages, and the use of cultural and prescribed burning. These strategies create a more resilient landscape that is less vulnerable to catastrophic wildfire.

“Implementing this scale of change to land management can only happen with strong leadership and collaboration,” Atkinson said. “This is not a task that can be accomplished by one agency, but will require all levels of government, industry, and the B.C. public to work together to do things differently. The payoff will be a reduced risk of catastrophic wildfire, and a more resilient landscape for future generations.”

The Forest Practices Board is B.C’s independent watchdog for sound forest and range practices, reporting its findings and recommendations directly to the public and government. The board audits forest and range practices on public lands and the appropriateness of government enforcement. It can also make recommendations for improvement to practices and legislation.

Thorough process

Lime kilns are the largest emitters of non-biogenic GHG emissions in a pulp mill; therefore, they were identified as a well-defined and viable opportunity to target decarbonization. FPInnovations has surveyed technologies available to identify the most suitable pathways applicable to the Canadian industry context, including economics, design, and operational aspects as well as impact on the pulping process itself and its energy efficiency.

“A techno-economic comparison was completed across all identified pathways and FPInnovations compared the impact on GHG reduction for each pathway based on direct fossil fuel replacement potential. The analysis was completed with support of a steering committee consisting of various industry representatives across the country and closely observed by Natural Resources Canada,” explains Victor Padilla, manager, corrosion and thermochemical processes and leader of the project. “While the strategy has been completed for the overall Canadian environment, the implementation of fuel switching will need to be customized for each specific mill based on several factors including kiln design and its operational characteristics.”

Major environmental and economic benefits

It is estimated that a typically sized Canadian kraft mill could reduce emissions by 40 kt/y of CO2 eq; if half of the 28 kraft lime kilns in operation in Canada switched to biogenic fuel, it could reduce Canadian GHG emissions by over 500,000 t/y of CO2 eq, to significantly contribute to Canada’s net-zero targets while increasing the sector’s competitiveness and creating a huge opportunity for the Canadian forest sector. What’s more, investment into decarbonization of one lime kiln would result in a positive financial impact of about $6.8 M/y incentivized by a carbon tax of $170/tCO2 in 2030.

“Decarbonizing our industry is a critical path moving forward. We continue to support the forest industry as a technology honest broker to identify the best solution with the least amount of risk to enable decarbonization of lime kilns in Canada,” said Stéphane Renou, president and CEO of FPInnovations.

A $1.5-million contribution from Natural Resources Canada’s Investments in Forest Industry Transformation (IFIT) program and another $1.5 million from Ontario’s Forest Sector Investment and Innovation Program will support the installation of robotic equipment at the value-added plant.

The project will see the installation and production of two MDF moulding lines with custom-made robotized stacking, packaging and labelling stations. The new technology will increase the plant’s capacity, improve safety and “upskill” 18 jobs into specialized positions, such as robot operators, Natural Resources Canada said in a news release.

Alexandre Ouellette, Pembroke MDF plant manager for Roseburg Forest Products, said in the release they are deeply grateful for the support to modernize dated equipment and improve workflow and funcitionality. “Automating our stacking and packing processes with robotics has allowed us to expand from three shifts to four while creating a safer, more efficient and more modern work environment for our team members,” Ouellette said.

“Canada’s forest sector has provided economic opportunity and secure livelihoods for Canadians in communities right across the country,” Natural Resources Minister Jonathan Wilkinson said. “The federal government is committed to supporting this sector to implement innovative technologies and processes to increase efficiency and capacity, lower emissions and create good, sustainable jobs. By investing in the Roseburg Forest Products facility in Pembroke, we are ensuring that local communities continue to reap the benefits of the sustainable use of Canada’s forest resources.”

The CWC’s president and CEO, Rick Jeffrey, thanked the outgoing chair, Jérôme Pelletier, for his valuable contributions to the organization during his tenure, and welcomed Pankratz to the role of board chair. “As senior vice-president of sales and marketing at Canfor, and a representative of the BC Council of Forest Industries, Mr. Pankratz brings considerable expertise to this role. His extensive experience in our industry includes leadership roles in Asian and North American markets, supply chain optimization, and market development. We look forward to his guidance and stewardship as the new chair of the CWC Board.”

“I am honoured to be the new chair at the CWC,” said Pankratz after the appointment. “I would like to thank Mr. Pelletier for his valuable contributions and leadership over the last three years. I look forward to working with the council, my fellow board members, and member delegates to continue the important work of the CWC in advancing the use of wood within the built environment.”

Founded in 1959, the Canadian Wood Council is Canada’s unifying voice for the wood products industry. As a national federation of associations, the Council’s 14 members represent hundreds of manufacturers across the country. For over 60 years, the CWC has supported its members by expanding market demand for wood products and championing responsible leadership through excellence in codes, standards, and regulations.

The CWC also disseminates technical knowledge to the construction sector through its market leading Wood WORKS! initiative, supporting building professionals in their pursuit of more sustainable construction practices. Through their comprehensive resources, training programs, and expertise, the CWC empowers building professionals with the knowledge and skills necessary to design and build with wood, helping reduce the carbon footprint of our built environment as we work toward a net-zero future.

“As we approach the end of June, Canada’s 2023 wildfire season has already inflicted record-breaking devastation in dozens of rural and northern forested communities across the country.

For context, the over 7.2 million hectares burned to date represents roughly 10 times the amount of forested land that Canada’s Registered Professional Foresters sustainably harvest and renew in an entire year.

In its June 2022 National Issues Report, Natural Resources Canada noted the important role that Canada’s forest sector and its workers play in mitigating the risk of fires across the country. Recognizing it is going to take a whole of society approach to adapt to our changing climate, FPAC will continue to work on behalf of Canada’s forest sector with Climate Proof Canada – a coalition of experts from industry, the municipal sector, Indigenous organizations, environmental groups, and research organizations. Through this collaboration we will continue to support the federal government’s efforts to improve on emergency preparedness and build a more disaster-resilient country.

FPAC is keen to see today’s strategy and action plan take some further steps and we are committed to working with the federal government on a number of additional fire risk mitigation priorities, including:

• Ensuring the National Adaptation Strategy has clearer links to its Wildland Fire Strategy and that the federal government works closely with the Canadian Council of Forest Ministers on execution of this plan.
• Encouraging the federal government to fund Climate Change Vulnerability Assessments in and around forested communities and improve fire shed mapping.
• Supporting municipalities and Indigenous communities so they have the necessary funds and tools to fire-proof their communities, including using measures like thinning and prescribed burns.
• Accelerating growth and investment in Canada’s forest bioeconomy so we can develop new markets for low grade wood and remove dead and decaying wood from our forests to improve forest health and reduce fuel loads.

That week’s price is up by +$33, or +9%, from one month ago when it was US$358 mfbm.

Compared to the same week last year, when it was US$660 mfbm, that week’s price is down by -$270, or -41%. Compared to two years ago when it was US$1,275 mfbm, that week’s price is down by -$885 or -69%.

In the week ending June 16, 2023, the price of Southern Yellow Pine East Side 2×4 #2&Btr KD (RL) was US$410 mfbm. This is down by -$15 or -4% compared to the previous week when it was US$425 mfbm.

That week’s price is down by -$89, or -18%, from one month ago when it was US$499 mfbm.

Compared to the same week last year, when it was US$685 mfbm, that week’s price is down by -$275, or -40%. Compared to two years ago when it was US$1,090 mfbm, that week’s price is down by -$680 or -62%.

Sales of newly built, single-family homes in May increased 12.2 per cent to a 763,000 seasonally adjusted annual rate, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

“Demand for new homes is strengthening because of a lack of existing home inventory,” said Alicia Huey, chairman of the National Association of Home Builders (NAHB) and a custom home builder and developer from Birmingham, Ala. “And while builders continue to grapple with elevated construction costs, an encouraging sign is a big gain in home sales priced in the $200,000 to $300,000 price range. In May 2022, just 5,000 homes sold in this range and that total increased to 12,000 in May 2023.”

“The lack of resale homes available for sale, at just a three months’ supply, is supporting demand for newly built homes,” said NAHB chief economist Robert Dietz. “New home inventory was 31 per cent of total inventory in May. Historically it is typically 10 per cent to 15 per cent. Further, the pace of resales is down 20 per cent from a year ago, while the rate of new home sales is up 20 per cent from a year ago.”

A new home sale occurs when a sales contract is signed or a deposit is accepted. The home can be in any stage of construction: not yet started, under construction or completed. In addition to adjusting for seasonal effects, the May reading of 763,000 units is the number of homes that would sell if this pace continued for the next 12 months.

New single-family home inventory in May was 428,000, down 2.9 per cent compared to a year ago. This is down to a more balanced 6.7 months’ supply at the current building pace, despite tight existing home supply conditions. A measure near a six months’ supply is considered balanced.

The median new home sale price in May was $416,300, down 7.6 per cent compared to a year ago.

Regionally, on a year-to-date basis, new home sales are up 0.8 per cent in the Northeast and 1.6 per cent in the South. New home sales are down 2.5 per cent in the Midwest and 20.7 per cent in the affordability-challenged West.

Under the new regulations, licensees will publish forest operations maps, including proposed cutblocks and roads, and make them available to public feedback.

The province has developed an optional web-based tool for companies to display maps and invite public feedback, and plans to launch it fully next year. BC Timber Sales as well as some forestry companies in the province are currently testing the mapping portal.

“Providing people with an easy, user-friendly tool to view maps of local forest operations will help to promote transparency and information sharing,” Jennifer Gunter, executive director of the BC Community Forest Association, said in the province’s news release. “Forest operations maps have the potential to improve public confidence in our sector across the province.”

A new regulation under the Forest and Range Practices Act will establish a new protected habitat category known as Ecological Communities, designed to increase protection for rare and endangered species and habitats.

B.C. Forests Minister Bruce Ralston said in the release the amendments to forest management are important to British Columbians. “We are boosting forest conservation to better support ecosystem health, including rare and critical habitat,” he said. “Opening the planning process to the public through the use of new digital tools will engender greater public trust and ensure forest resiliency.”

Q1 2023 showed the outcome of capitalizing on strong 2022 results and making smart investments to further impacts. The SLB and its funded programs continue to advance the industry’s goal of stimulating demand and expanding markets for softwood lumber.

Key highlights include:

• 439 MM BF of incremental demand generated, which has a carbon benefit of 1.1 MM metric tons of CO2 stored and avoided.
• The Mass Timber Conference, held March 27-29 in Portland, Ore., welcomed an estimated 3,000 design and construction professionals, and the predominant sentiment was enthusiasm and confidence in mass timber.
• The American Wood Council launched its second year of EPD data collection – an ongoing project to compile data on the production processes and environmental impacts of lumber products from source to end use.
• Think Wood secured the highest ever conversion rate of qualified leads to new projects, at 29 per cent. With 10 new projects converted in Q1 alone, the program is on pace to set a record number of new projects in 2023, an early indication that lead nurturing is continuously becoming more effective at priming practitioners to want to build projects with wood.
• WoodWorks directly influenced 123 projects and indirectly influenced 309 projects in Q1. Combined, the projects represent 18 MM SF of impacted wood construction, 180 MM BF of incremental lumber, 36 MM BF of incremental engineered wood products, and 108 MM SF of incremental wood structural panels.
• The Wood Institute saw 661 new accounts created and 1,080 courses completed, greatly exceeding Q1 2022. The SLB’s Education program also had 881 engagements with students and emerging professionals and 113 engagements with university faculty, continuing the focus of increasing exposure to wood design in more schools so future professionals are prepared to confidently implement wood systems in the built environment.

Learn more here.

“We’ve seen a tremendous amount of growth in terms of sales,” says JoeScan president Joey Nelson. “So we have some additional demand on our engineers to answer support questions. But we also want to continue to develop new products and features to make 3D scanning even simpler and easier to use for sawmills.”

JoeScan has a full product development schedule underway, with a new “super snapshot” scanner model featuring 3 inch laser spacing slated for release later this year. “We designed the Z8 scanner for places in the mill where you can’t move the log or board at all,” Nelson says. “Getting data every three inches instead of every six gives you much more accurate models which means you get better solutions from your optimizer. But there are also instances when you need to run very, very fast, and the Z8’s smaller laser spacing can help you get there.”

The JoeScan engineering group is also working on a suite of software features to simplify start-ups including additional diagnostic and calibration tools.

From supporting the uptake of caribou requirements and deepening knowledge around the implementation of Free, Prior and Informed Consent (FPIC) – both part of the National Forest Stewardship Standard (NFSS) – to monitoring the performance and effectiveness of our Standard and showcasing its impacts – like those demonstrated in a collaboration between Indigenous-led social enterprise, Wahkohtowin Development, and GreenFirst Forest Products.

“In 2022, FSC Canada’s momentum was spurred by our diverse and growing network of engaged partners, each of whom is dedicated to building a landscape of sustainably managed forests. Their trust in our National Forest Management Standard demonstrates a collective commitment to support Indigenous rights, protect ecosystems, and combat climate change,” says Francois Dufresne, FSC Canada president.

This year’s report shares updates on the strategic vision for Climate and Ecosystems Services (CES), solid wood market expansion and FSC Canada’s five-year strategic plan. It also underscores the importance of marketing and communications to build and strengthen its community, especially through social media channels where it reached over 1.1 million people last year.

“Looking ahead, while the challenges are enormous, I am hopeful that FSC Canada’s values of inclusivity, collaboration, leadership, sustainability, success, and credibility will steer us in the right direction,” says Cliff Wallis, chair of the board of directors at FSC Canada.

“As a company founded nearly 70 years ago, we understand the importance, and necessity, of doing the right thing for the environment, our communities and our employees while sustainably and profitably growing our business,” said Ray Ferris, president and CEO.

“In 2022, we took important steps towards achieving our goal of being a sustainability leader,” said Ferris. “Building on our foundations, we continued the work to advance robust and credible environmental and social goals and targets to guide the Company’s next chapter.”

In February 2022, West Fraser became one of the first Canadian forest products companies to commit to reducing our scope 1 and 2 greenhouse gas (GHG) emissions by 46.2 per cent and scope 3 by 25 per cent, by 2030. This commitment has since been validated by the Science Based Targets Initiative (SBTi) in April 2023. To ensure our work aligns with international expectations we also joined the United Nations Global Compact, solidifying our commitment to the UN Sustainable Development Goals (SDGs), which guide our work in every community where West Fraser operates.

A social performance strategy was developed to establish meaningful ambitions and goals to progress our social performance and frame future disclosures. This work includes a strong focus on people and company culture, reflecting not only West Fraser’s long-held values but a commitment to a safer, healthier, more diverse, equitable and inclusive workforce.

“Looking ahead, ambitious but credible targets, with valid, verified, achievable pathways to meet those targets, will continue to be a hallmark of our approach to sustainability,” said Ferris.

Learn more here.

Overall housing starts in May increased 21.7 per cent to a seasonally adjusted annual rate of 1.63 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

The May reading of 1.63 million starts is the number of housing units builders would begin if development kept this pace for the next 12 months. Within this overall number, single-family starts increased 18.5 per cent to a 997,00 seasonally adjusted annual rate. However, this remains 6.6 per cent lower than a year ago. The multifamily sector, which includes apartment buildings and condos, increased 27.1 per cent to an annualized 634,000 pace.

“Mirroring rising builder sentiment, single-family permits and starts increased in May as builders boosted production to meet unmet demand,” said Alicia Huey, chairman of the National Association of Home Builders (NAHB) and a custom home builder and developer from Birmingham, Ala. “Despite elevated interest rates that make the cost of housing more expensive, the lack of existing home inventory in most markets is leading to increased demand for new construction.”

“The May housing starts data and our latest builder confidence survey both point to a bottom forming for single-family residential construction earlier this year,” said NAHB chief economist Robert Dietz. “There have been some improvements to the supply-chain, although challenges persist for items like electrical transformers and lot availability. However, due to weakness at the start of the year, single-family housing starts are still down 24 per cent on a year-to-date basis.”

And while single-family starts are down 24 per cent year-to-date, single-family completions are down just 1.2 per cent as projects started at the end of last year finish. Of note, the May housing data shows that the number of single-family homes under construction is down 16 per cent compared to a year ago at 695,000, while the number of apartments under construction is up 17 per cent to 994,000 – the highest level since September 1974.

Dietz also noted that the May housing data signals a positive development on the inflation front. “Additional housing supply is good news for inflation data, because more inventory will help reduce shelter inflation, which is now a leading source of growth for the CPI,” he said.

On a regional and year-to-date basis, combined single-family and multifamily starts are 11.0 per cent lower in the Northeast, 15.0 per cent lower in the Midwest, 12.3 per cent lower in the South and 24.7 per cent lower in the West.

Overall permits increased 5.2 per cent to a 1.49 million unit annualized rate in May. Single-family permits increased 4.8 per cent to an 897,000 unit rate, but are down 25.5 per cent year-to-date. Multifamily permits increased 5.9 per cent to an annualized 594,000 pace.

Looking at regional permit data on a year-to-date basis, permits are 21.1 per cent lower in the Northeast, 24.7 per cent lower in the Midwest, 16.5 per cent lower in the South and 24.1 per cent lower in the West.