Arthur Poirier-Roy, LJI Journalist
ST-ELZEAR – The Gaspé Peninsula’s timber industry, a cornerstone of the region’s economy, finds itself navigating a period of significant economic uncertainty. With a heavy reliance on export markets, particularly the United States, the industry is acutely vulnerable to Trump’s shifts in trade policies and global market fluctuations.
The volatile nature of the current U.S administration, under President Trump, casts a long shadow over the timber sector in the Gaspé Peninsula. Past trade disputes and policy changes have demonstrated the profound impact that external decisions can have on local businesses. The unpredictability of these factors creates a climate of anxiety, making long-term planning and investment a risky proposition. As Alexandre Lepage, a seasoned forest engineer, observed, “You just don’t know what’s coming next. One day, everything’s fine, the next, a new tariff, and you’re scrambling.”
The region’s timber industry’s economic health is inextricably linked to exports, with a significant majority, 84%, destined for the United States. This heavy reliance underscores the vulnerability of the region to fluctuations in the American market. Any changes in U.S. trade policy, tariffs, or economic conditions can have immediate and substantial repercussions for Gaspésie’s producers.
Adding to this external pressure are the internal challenges of modernization. Many of the region’s sawmills and processing facilities are grappling with aging infrastructure. “It’s a common sight,” Lepage noted, “to see brand-new, state-of-the-art machines sitting right next to equipment that’s decades old. That’s the reality of this industry.” The cost of upgrading these facilities, coupled with the uncertainty of future market conditions, makes significant capital investments a daunting prospect. “We’re living on tight margins,” he explained. “Every dollar counts, and with the way things are, it’s hard to justify taking on more debt.”
The labour force also presents a complex set of uncertainties. Skills gaps within the workforce, particularly in relation to new technologies, are a growing concern. There are also disparities in compensation, which can create instability and affect workforce morale. The lack of unionization in specific sectors further contributes to a sense of uncertainty among workers, who may feel they have limited recourse in the face of changing industry dynamics.
Furthermore, the significant financial burden of acquiring and maintaining modern machinery is a primary source of anxiety for many in the sector. “We’re not like the big companies in the States,” Lepage pointed out. “We’re tightly regulated here, to preserve the forests. That’s a good thing, but it also means we don’t have the same financial flexibility. We might not have the resilience to endure a long, drawn-out tariff war.” The difficulty in predicting future revenue streams makes it challenging to justify large expenditures, leading to a reluctance to invest in necessary upgrades.
Even the growing trend of ing potential benefits, adds an element of uncertainty. While wood construction is presented as a sustainable and efficient alternative, the long-term market demand and the necessary infrastructure to support this growth remain unclear.
The Gaspé Peninsula’s timber industry is facing a confluence of challenges. From the unpredictable nature of international trade to the internal pressures of modernization and workforce development, the sector is grappling with a high degree of economic uncertainty. Navigating these turbulent times will require careful planning, adaptability, and a willingness to embrace change, even as the path forward remains shrouded in doubt.
This is the first in a journalistic series based on an interview with Engineer Alexandre Lepage, offering his insights on the sector’s current state.”