LATEST UPDATE: SEPTEMBER 8, 2026 

Following the announcement from the Canadian Government on August 25, and in a direct response to the 50 per cent tariff on Canadian exports, Canada has now implemented dollar-for-dollar counter-tariffs on $27.6 billion in U.S. goods, effective September 8, 2026. These will add new costs to a range of products used by the construction industry.

Bottom line for industry: construction is a net importer of critical materials, and this list hits hard. It includes tariffs on structural and derivative products, doubling from 25 to 50%; Plywood, LVL, and sawn wood, facing 25 to 50% tariffs; As well as Fasteners, HVAC equipment, scaffolding, doors/windows, lifting machinery, and more, hit with rates from 15 to 50%. 

The Canadian Construction Association (CCA) estimates tariff exposure could add approximately 3% – 5% to overall project costs, depending on project type, material requirements, and procurement timing.

For a complete tariff item list, background, and support program breakdown, provided by the CCA, download the following member bulletin. 

WHAT IT MEANS FOR BC’S CONSTRUCTION INDUSTRY  

The ongoing uncertainty resulting from volatile United States trade policies continues to impact businesses in the Industrial, Commercial, Institutional, and Residential (multi-unit) (ICIR) construction sector. Rising costs and supply chain disruptions create challenges for contractors, suppliers, owners, and developers alike, reinforcing the need for long-term, proactive planning and risk management.

For BC, there is another dimension. Our economy is exposed on both sides of this trade relationship: important Canadian exports such as lumber and aluminum face U.S. trade barriers while construction companies importing affected U.S. products face higher costs at home.

SHORT-TERM 

BCCA echoes the sentiments from the CCA and emphasizes the importance of understanding and carefully reviewing contract provisions to mitigate financial risk. Industry members should ensure duty provisions are addressed in bid documents, as outlined in GC 10.1 of CCDC 2, and be prepared to negotiate cost recovery mechanisms for unforeseen tariff-related expenses.  

Our advice: going forward, don’t bid and don’t sign a contract without clear duty provisions.  

Resulting supply chain disruptions and delays will further escalate costs, making it essential for contractors to be aware of their contractual rights. As part of our longstanding efforts to support best practices, BCCA encourages all industry members to mitigate the uncertainty we are in by planning, staying informed and leveraging available resources to navigate these uncertainties effectively – always read your contracts and talk to your legal counsel. 

LONG-TERM 

BCCA remains committed to advocating on behalf of BC’s construction industry, working alongside national and provincial partners to ensure fair and sustainable trade policies. While addressing the immediate challenges posed by tariffs, we must also consider long-term strategies, including potential trade diversification, to safeguard the industry against future disruptions. Our focus remains on strengthening the resilience of BC’s construction sector and supporting businesses as they adapt to an evolving economic landscape. 

SOME OF WHAT WE’VE DONE, AND WHAT WE’RE DOING TO SUPPORT CONTRACTORS IN BC

• Members only webinars in early February and early April 2025, on preparing for U.S. Tariffs
• Providing ongoing, real-time updates, accessible through the Activity feeds below
• Added a  We Sell Canadian Products filter to BCCA’s BidCentral Directory
• Providing link to Government of Canada official counter-tariff measures