Feds announce Canadian Forest Sector Transformation Task Force

Feds announce Canadian Forest Sector Transformation Task Force

The Government of Canada has announced a new task force designed to improve the competitiveness of the country’s forest products sector.

The announcement was made by Tim Hodgson, Minister of Energy and Natural Resources, while offering an update on the progress of federal support measures for Canada’s forest sector and introducing a new Natural Resources Canada website that explains how to apply to federal programs related to the forest products sector.

“Canada’s forest sector is a cornerstone of our economy. The measures announced today do two things at once: they help companies manage immediate challenges, and they position the industry for long-term competitiveness. By supporting innovation, expanding markets and prioritizing Canadian materials, we are building Canada Strong,” Hodgson stated.

The Canadian Forest Sector Transformation Task Force, which is scheduled to start up in early 2026, will be seeking input from industry members, provinces and territories, Indigenous foresters, communities, and labour groups on how to restructure the forest sector to ensure the sector’s long-term success.

The task force will be led by Ken Kalesnikoff of Kalesnikoff Mass Timber and Frédéric Verreault of les Chantiers Chibougamau. It will have 90 days to consult with interested parties on recommendations for best practices for expanding the use of mass timber and modular systems; diversifying products; identifying new markets; and improving productivity. More task force members will be announced in the coming weeks.

Natural Resources Canada’s Green Construction through Wood (GCWood) program has announced funding for several initiatives to help promote various wood-based solutions and systems.

The Canadian Wood Council is receiving more than $8.5 million in funding from the GCWood program for three projects. According to a Government of Canada press release, these projects will:

• Increase the use of wood-based solutions, systems and products in Canada by building proficiency in the use of wood as a construction material through direct technical support, training, awareness and networking.
• Increase the number of educational offerings and content related to wood construction education in order to increase the understanding and acceptance of wood as a building material by post-secondary students, trades and other construction industry professionals.
• Accelerate the adoption of performance-based building codes and to enable the forest industry’s participation in developing code change proposals allowing for the increased use of low-carbon building materials and mass timber in wood buildings for the 2025 and 2030 editions of the National Building Code.

“The Canadian Wood Council deeply values the Government of Canada’s continued leadership in advancing low-carbon construction through the GCWood program. GCWood support enables us to provide critical technical advisory services, deliver wood-focused education and training to existing and future practitioners, and contribute to code developments that reflect the evolving strengths of modern wood products and systems,” stated Rick Jeffery, CEO of the Canadian Wood Council. “GCWood investments are important, strategic inputs that strengthen Canada’s forestry, manufacturing and construction sectors. We look forward to building on our work to date as we engage with partners nationwide to accelerate the adoption of sustainable wood solutions and modern methods of construction.”

The Climate Smart Buildings Alliance will receive $272,000 in funding from the GCWood program to conduct a feasibility and/or prototype-level assessment of potential solutions to address insurance challenges faced by the mass timber construction industry.

“Mass timber offers a major opportunity to grow Canada’s economy by accelerating housing delivery, creating local jobs and driving value-added manufacturing with Canadian wood — all while significantly reducing the environmental footprint of new buildings. Historically, high insurance rates — stemming from limited claims data — have slowed the sector’s growth. The Mass Timber Insurance Action Plan, led by CSBA and the Canadian Wood Council with 40 insurance and building partners and support from NRCan, is tackling these challenges head-on. By addressing root causes, we’re making it easier and more affordable to build mass timber housing and other projects across Canada,” stated David Messer
Executive Director, Climate Smart Buildings Alliance.

Sustainable Buildings Canada will receive $261,900 in funding from the GCWood program for a project to develop a mass timber costing guide designed to help educate people about cost issues associated with the design, engineering, code equivalency and construction of large mass timber buildings.

“Mass timber is generating tremendous excitement as a climate-smart building solution that can help Canada build more housing, and with good reason. But with that excitement, there’s still real uncertainty about the true costs and practical implications of building with it. Our Costing Guide is designed to cut through that uncertainty and provide clear, evidence-based insight into the benefits, challenges and trade-offs of mass timber construction,” stated Adam Jones, director of operations for Sustainable Buildings Canada.

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