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Federal government invests $12-million in B.C. forestry sector

Click to play video: 'Federal help for B.C. forest industry'
Federal help for B.C. forest industry
The federal government is rolling out $12 million in funding to help B.C's forest industry, while the provincial government for large-scale tariff relief. Aaron McArthur reports. – May 14, 2026

The federal government has announced it is investing about $12 million in British Columbia’s forestry sector, days after other tariff-hit Canadian industries were offered $1.5 billion in support.

Energy Minister Tim Hodgson made the announcement at Terminal Forest Products, a sawmill in Richmond, B.C., on Thursday.

Hodgson says the funding will prioritize 14 projects that use low-carbon wood technology, expand the use of mass timber in construction, or are Indigenous operated.

Click to play video: 'Reaction to report into future of B.C. forestry'
Reaction to report into future of B.C. forestry

He says the investment is part of Canada’s strategy to diversify its wood production and become less reliant on the United States amid its “unjust” tariffs.

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Asked about the size of the funding in light of the $1.5-billion commitment to sectors including steel, aluminum and copper last week, Hodgson says the federal government has previously committed $2.5 billion in support for the forestry sector.

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British Columbia Premier David Eby was critical of the federal government after last week’s tariff relief omitted the lumber industry, which has been combating U.S. duties and fees for decades.

Eby said he was concerned that it was prioritizing other sectors of the economy over B.C.’s forest sector.

Hodgson says the federal government is working “constructively” with the province.

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