On August 5, 2025, Prime Minister Mark Carney announced a $1.25 billion aid package to support the softwood lumber sector amidst tariffs, as well as retool and pivot to new markets. This package includes:
- $700 million in loan guarantees to help companies confront immediate tariff pressures facing the softwood lumber sector, which will give the sector needed liquidity to maintain and restructure, if necessary, their operations.
- $500 million to supercharge product and market diversification and make the industry more competitive globally. This includes targeted supports for Indigenous-led forestry business development.
- Changes to federal procurement to prioritize Canadian materials in construction, including requiring companies contracting with the federal government to source Canadian lumber.
- $50 million to help reskill and support more than 6,000 impacted softwood lumber workers through Labour Market Development Agreements, building on temporary enhancements to the Employment Insurance (EI) program and the EI Work-Sharing program.
Links to information on loan guarantees, support for product and market diversification funding and worker support will be shared on this page as soon as they become available.
News releases