Premier David Eby is seeking to reassure provincial forestry workers about the impact of looming U.S. tariffs from incoming American president Donald Trump. But for many who came to see him speak about the issue this week, there’s equal parts frustration at Eby’s own government for its role in the downturn of the sector as well.
Eby addressed forestry in speeches at both the Natural Resources Forum in Prince George and the Truck Loggers Association in Vancouver where he faced, to put it mildly, skeptical crowds.
“I know that our government and policies have been a source of frustration for a number of people in the room,” Eby said to start his address to the truck loggers convention.
“My commitment in showing up, and I will continue to show up, is that we’re going to work together, and we’re going to work through it, and we’re going to come out the other end stronger.”
It’s the third year Eby has addressed the truck loggers, and each time he finds himself resetting the relationship.
In his first address, he promised to provide certainty on long term timber supply through new forest landscaping planning tables with First Nations — many of which have still failed to complete their work, as Indigenous nations complain about a lack of resources and help to complete the complex assignments.
In his second, Eby promised more decisive action on identifying fibre supply with a new parliamentary secretary dedicated to the task named Andrew Mercier — who then lost his seat in the Oct. 19 election, and took whatever progress he’d made with him.
On his third go-around, the premier was more reflective.
“I’ve heard from you the importance of a working forest land base for predictability around investments in your own business and decisions that you need to make for yourselves and for your employees or for your own family,” he said.
‘We have to ensure… predictability of the cut’
Eby embedded in new Forest Minister Ravi Parmar’s mandate letter a commitment “toward ensuring a sustainable land base to enable harvest of 45 million cubic metres per year, while fulfilling our commitment to protect old growth.”
“At the end of the day, we have to ensure that we have a forest industry going forward, and that means the predictability of the cut,” said Eby. “And so I’ve asked Ravi to be able to work with our team to ensure that for you, we can guarantee that level of annual allowable cut.”
The problem, though, as many speakers at the convention outlined, is the real-world economics of actually logging the wood in the face of market conditions, the availability of the fibre wanted, and an ongoing 14.5 per cent softwood lumber duty by the United States.
Add to that, uncertainty caused by the government’s temporary deferrals to protect old growth trees and its more recent commitment to a broad “review” of the province’s entire forestry sector. The latter was agreed to by the NDP government to gain cooperation of the BC Greens in the legislature.
Eby also directed Kahlon to conduct a review of BC Timber Sales, an open market pricing system for logs created in 2003 in response to American complaints, which manages roughly 20 per cent of the provincial supply of lumber.
“This is not another study,” said Eby. “This is a recognition — well, it actually pre-dated the tariffs, but it takes on a new importance now — that the elaborate process that we go through with BC Timber Sales to appease Americans on softwood lumber duties has absolutely not done that. The tariffs continue to get higher, and the process is not working for anybody.”
He said it’s “freeing” in a way, to be able to construct a new system that’s more workable for the province, knowing that the Americans will hit B.C. with tariffs anyway. The goal is to get action within six months, said Eby.
Still, the premier acknowledged his government’s overall plan for the forestry sector “has been inadequately communicated” to date.
Forest sector ‘on its knees’
Conservative leader John Rustad said the NDP is more to blame for the forest sector problems than any tariff.
“The forest sector is on its knees,” he said.
“I think what I would love to hear David Eby say is that he has a plan to go forward to actually address softwood lumber, that he has a plan to reduce the cost structure, to make our industry competitive, and he has a plan to let the fibre flow so people can get back to work.”
“I would love to hear David Eby say… he has a plan to let the fibre flow so people can get back to work.”
John Rustad
Eby admitted, in some cases, his government’s policies have failed to work. He cited an agreement with the Carrier Sekani First Nation to open up 460,000 cubic metres of timber in the Prince George area that, two years after being announced, still hasn’t been finalized. He called it frustrating and disappointing.
“We understand that some of these policy changes have had impacts on you,” Eby told truck loggers. “Some were unavoidable. Some are 100 per cent avoidable, and I regret them very much. I’m sorry for the impact that it’s had, for example, in the Prince George area.”
Stability the goal for 2025, says Premier
But he said the goal for the next year is predictability and stability on fibre supply, regardless of whether the Americans follow through with a 25 per cent tariff on Canadian goods.
The commitment of delivering the 45 million cubic meters annual allowable cut is real,” he said. “We are going to work with you and with nations and communities to deliver that.”
“I appreciate you continually inviting me to lunch, even though I am sure that many of you are deeply annoyed and frustrated with me and our government,” he added.
“We’re going to work with you, and we’re going to get through it, and we’re going to get out on the other side stronger.”
Another year of promises. The industry though continues to wait for actual action.