The U.S. Ambassador to Canada, Pete Hoekstra, delivered a blunt assessment of the decades-long softwood lumber dispute, telling a Fredericton Chamber of Commerce audience that cracking this issue “is going to be a very, very difficult one to solve.”
Hoekstra, who met with New Brunswick Premier Susan Holt earlier on Friday, noted that Washington’s decision to hike “absurd and reckless” duties on Canadian softwood — now totalling more than 35 per cent — underscores the stakes for both nations. “We may need lumber or building materials from someone other than just the United States,” he said, leaving little doubt that American producers are feeling the pressure.
When Holt raised her province’s concerns about the steep tariffs, Hoekstra praised her passion for opening markets: “She brought up her concern and her hope that we could reach an agreement on softwood lumber,” he recounted. “Other than that, it’s not for me to talk about her position. Ask her.”
New Brunswick’s economy is deeply tied to forestry: with producers like J.D. Irving exporting more than 80 per cent of the province’s forest products to U.S. buyers, including lumber, pulp, paper and even Christmas trees. And with such huge volumes of lumber crossing the border every day, any resolution could ripple through local communities on both sides.
Ron Marcolin, divisional vice-president of Canadian Manufacturers and Exporters, praised Hoekstra’s straight-talking approach: “There is no beating around the bush. We now certainly know what, in fairness, we’re up against,” Marcolin said. He argued that the tariffs serve as a lifeline for U.S. timber firms, which seek to stem Canadian competition. “They’re saying, ‘Keep out those big, bad Canadians and let’s tax them because they’re a competitor.’” Still, Hoekstra reminded the crowd that America remains “especially open for business with Canadians.” “I’m a marketing guy. I want your business,” he smiled, signalling a willingness to keep dialogue alive even as talks grow tougher.
- To learn more about the impact of duties on lumber prices, click here for Wood Central’s special feature from March 2025. And to learn why Canada is now open to imposing trade quotas on softwood lumber traded across the US border, click here for Wood Central’s special feature.
