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Western Statement on Changes to the Manufactured Forest Products Regulation

General News

Western Forest Products Inc. (“Western” or the “Company”) announced that the British Columbia provincial government (the “Government”) has provided additional information on the implementation of amendments to the Manufactured Forest Products Regulation (the “Regulation”). On January 21, 2020, the Government announced that the Regulation was being amended to include requirements for lumber made from Western Red Cedar and Cypress (yellow cedar) to be fully manufactured to be eligible for export.

The additional information provided by the Government includes the application of a tax on Western Red Cedar and Cypress exported from the Coast of British Columbia within 3,000 miles from British Columbia. The amount of the tax varies depending on the extent of processing applied to the lumber before it is exported.

“We are disappointed the Government has chosen to add additional regulatory burden and costs during a global pandemic to an industry that is already disproportionately impacted by the application of US softwood lumber duties”, said Don Demens, President and CEO of Western.

Western is in the process of reviewing the Regulation and the additional information provided by the Government to determine its impact on our business.

About Western Forest Products Inc.

Western is an integrated forest products company building a margin-focused log and lumber business to compete successfully in global softwood markets. With operations and employees located primarily on the coast of British Columbia and Washington State, Western is a premier supplier of high-value, specialty forest products to worldwide markets. Western has a lumber capacity in excess of 1.1 billion board feet from eight sawmills and four remanufacturing facilities. The Company sources timber from its private lands, long-term licenses, First Nations arrangements, and market purchases. Western supplements its production through a wholesale program providing customers with a comprehensive range of specialty products.


Stephen Williams – Executive Vice President & CFO – (604) 648-4500

Source: Western Forest Products Inc.