U.S. Lumber Tariffs Could Help Canada Build 4,000 More Homes, CMHC Says
Could U.S. Lumber Tariffs Help Canada Build 4,000 More Homes a Year? CMHC’s Surprising Housing-Cost Analysis Canada | October 16, 2026 U.S. tariffs on Canadian lumber are normally discussed as bad news for Canada’s forestry industry. But Canada’s national housing agency has identified an unexpected possibility: if tariffs leave more Canadian wood available at home—and builders actually use more of it—some types of housing could become cheaper to construct. Canada Mortgage and Housing Corporation, or CMHC, estimates that greater and more consistent use of domestically available wood products could potentially support about 3.5% more ground-oriented housing starts nationally, equivalent to close to 4,000 additional starts a year . The potential effect is even larger in certain cities. CMHC’s modelling suggests ground-oriented housing starts could increase by approximately: Market Potential increase in annual ground-oriented housing starts Calgary 8.0% Edmonton 6.1% Ottawa 4.5% Toro...