Summary
- Government is investing more than $12 million and will leverage $4.7 million from industry for a total of more than $16.7 million through British Columbia’s Crown agency, Forestry Innovation Investment
- Funding supports trade diversification and increased use of B.C. wood at home and abroad
- Projects will help grow demand, unlock new markets, support local jobs in wood manufacturing, and will strengthen the economy
- British Columbia is the third largest exporter of softwood lumber in the world
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British Columbia is growing stronger roots in global wood markets, investing more than $12 million to expand demand for made-in-B.C. forest products, support workers, and open new opportunities for communities throughout the province.
As the forest sector continues facing punitive U.S. trade actions, B.C. is looking to new trade avenues and partnerships. Through Forestry Innovation Investment (FII), the provincial Crown agency for wood product market development, this funding will support projects that diversify markets and increase the use of B.C. wood, to help maintain competitiveness in the global wood economy.
“Everyday building material costs are going up for middle-class Americans who want to build a home. We have duties and tariffs set by U.S. President Donald J. Trump to thank for that,” said Ravi Parmar, Minister of Forests. “Here in B.C., we are focused on ensuring no forestry worker is put in this position ever again. This investment will help B.C. forge powerful partnerships and position us to compete globally and win.”
The program includes two streams: market development, and wood first initiatives. These are designed to strengthen supply chains, drive demand and to create more opportunities for workers and businesses around the province.
Expanding global demand for B.C. wood
For 2026-27, FII will invest more than $9 million into market development initiatives, leveraged by more than $3 million form industry partners, for a total of more than $12 million. These projects focus on growing international demand and tearing down barriers to market access.
Efforts include expanding overseas wood use through applied research, technical approvals, building code development, and supporting joint government industry trade missions. Work will also target high-growth sectors, such as non-residential, resorts and renovations markets where demand for sustainable, high-quality wood products continues to increase.
FII has made progress in Vietnam, China, India, Japan, the United Kingdom and South Korea, while looking into opportunities in Mexico, the Middle East, North Africa and Southeast Asia.
Building more with wood at home
FII is also investing $2.6 million into its Wood First initiative, with an additional $1.5 million from partners, for a total of more than $4 million to increase wood use throughout B.C.
These projects focus on advancing mass timber and prefabricated wood construction by supporting architects, developers and local governments, with the goal to have more homes worldwide built with B.C. wood.
Investments will also support training and education, helping builders and designers move quicker on wood-based projects, and will connect buyers with B.C. producers.
What this means for people and communities in B.C.
- More demand for B.C. wood means more stable good jobs in forestry and manufacturing
- Stronger local supply chains help keep mills running and communities thriving
- New training and education opportunities prepare the next generation of workers for employment
- Expanding markets helps protect B.C. from global trade uncertainty
This work is part of B.C.’s path forward to grow a stronger, sustainable and more resilient forestry sector. One that creates good paying jobs, gets more value from every tree, and supports communities. By expanding markets, backing innovation and increasing wood use in B.C., government is taking action to keep fibre moving, mills running and workers working, all while building a more sustainable future for the province.
This builds on the work FII has done in the past year:
- hosted B.C.’s largest forestry trade mission to Japan and South Korea
- connected Premier David Eby and Kahlon to key customers in India during their recent trade mission and co-ordinating an upcoming Premier’s trade mission to China
- opened FII’s United Kingdom office to access the European market
- helped secure a memorandum of understanding between China’s Ministry of Housing and Urban-Rural Development, Canada’s Department of Natural Resources, and B.C.’s Ministry of Forests, to get B.C. wood products into China’s construction sector
Quotes:
Rick Doman, board chair, Forestry Innovation Investment –
“At a time when global market dynamics are reshaping trade and economic growth, it is essential to invest in initiatives that expand and diversify markets for B.C. forest products. These efforts are critical to maintaining the sector’s competitiveness and its role as a cornerstone of the provincial economy. FII is accelerating this work through targeted, strategic investments in 2026-27 that will strengthen and grow B.C.’s position as a trusted global leader in high-quality forest products and innovative building solutions.”
Kelly Marciniw, chair, BC Wood Specialties Group Association –
“Forestry Innovation Investment programs grow demand for B.C. made wood products within Canada and overseas, support local jobs in small-medium wood manufacturers, and ultimately strengthening the B.C. economy. Our delivery of market development initiatives has proven successful, including increasing sales to past selected markets. And our Wood First programs include educational outreach to design and construction professionals on B.C. value-added wood products along with targeted workforce development support to ensure B.C. companies are positioned for rapid growth.”
Bruce St. John, president, Canada Wood –
“Strong collaboration between industry and government on market diversification is one of the B.C. forest sector’s greatest strengths, enabling us to expand our reach and accelerate the expansion of global market opportunities for B.C. forest products. FII’s support for international market development activities historically and in 2026-27 enables Canada Wood to deepen our presence in priority markets, accelerate the adoption of wood solutions, and deliver tangible economic benefits for B.C.’s forest sector.”
James Higgins, co-founder, VanAir Design –
“While we remain small in footprint, our innovative products are now in demand across North America and Asia. Our doors are sold primarily through partnerships with major distributors, Lynden Door and Metrie — both companies with deep roots in B.C.’s forestry and value-added wood products industries. Breaking into a mature industry with a new product was not easy, and we’re grateful for the support we’ve received from Forestry Innovation Investment and BC Wood over the years.”
Quick Facts:
- Projects support increased use of mass timber and prefabricated wood construction.
- Funding supports trade missions and partnerships to grow demand in emerging markets.
- Investments help remove regulatory and technical barriers and to expand global market access.
Learn More:
- To learn more about FII, visit: https://www.bcfii.ca/
- To learn more about FII’s Market Initiatives, visit: https://www.bcfii.ca/our-funding-programs/marketing-initiatives/
- To learn more about FII’s Wood First, visit: https://www.bcfii.ca/our-funding-programs/wood-first/
Two backgrounders follow.