Federal Energy Minister Promotes Mass Timber in Castlegar Visit

A Strategic Initiative for Sustainable Construction

On November 10, 2025, Federal Energy Minister Tim Hodgson along with Stephen Fuhr, Canada’s Secretary of State for Defence Procurement, made a significant visit to Castlegar. Their purpose? To tour Kalesnikoff Lumber’s state-of-the-art mass timber production facility and to discuss the pivotal role of Canadian materials in the latest budget initiatives.

Kalesnikoff Lumber: A Beacon of Modern Manufacturing

The centerpiece of the tour was the impressive 100,000 square-foot, $30 million mass timber modular facility, which officially opened its doors in June. This remarkable establishment received substantial backing, including a $3 million investment through Natural Resources Canada’s Investments in Forest Industry Transformation program. The facility specializes in producing value-added, low-carbon building components, ranging from prefabricated walls to entire modular construction systems. The technology utilized here—glued-laminated timber (glulam) and cross-laminated timber—is at the forefront of sustainable building practices.

Why Mass Timber?

Mass timber is revolutionizing the construction industry by offering a multitude of benefits. It not only serves as an eco-friendly alternative to traditional building materials but also significantly lowers construction timelines while enhancing precision. With its versatile applications, mass timber is being increasingly adopted for a wide array of structures, including residential homes, apartment complexes, schools, libraries, and various recreational facilities.

Government Strategy: Building Canadian Homes

At the heart of Minister Hodgson’s message was the government’s renewed commitment to promote Canadian-made materials in construction. The 2025 budget pushes for a "buy Canadian" strategy that requires companies contracting with the federal government to prioritize Canadian softwood lumber and mass timber. Hodgson emphasized that their Build Canada Homes plan aims to facilitate the construction of 500,000 homes annually over the next decade, a crucial step in addressing the nation’s housing crisis.

"The Prime Minister has been very clear that he wants the bulk of that new home development to be through manufactured homes because it drives down the cost. He wants those manufactured homes to use mass timber, because that again will drive down the cost,” Hodgson stated. His vision underscores the belief that innovative building solutions can alleviate financial burdens while bolstering local economies.

A Vision for the Future

During his visit, Hodgson expressed optimism about the industry’s direction and the importance of facilities like Kalesnikoff Lumber in making sustainable construction a reality. “When you look at a facility like this, you can see that the goal is attainable,” he remarked. “This is the opportunity – we need to change the way we build.” The dialogue described a landscape where the construction sector embraces modern techniques and materials that align with the principles of sustainability.

Financial Support for Transformation

To support the envisioned transformation, the 2025 budget allocates up to $700 million over two years in loan guarantees. This financial aid aims to ensure that companies can maintain and restructure operations during this critical period of change. Furthermore, an additional $500 million over the subsequent three years will be dedicated to renewing and expanding Natural Resources Canada’s forest sector programs. This initiative focuses on diversifying markets and products as well as introducing new export strategies.

Conclusion: Shaping a Sustainable Future

The visit by federal officials to Castlegar not only showcased cutting-edge technology in mass timber production but also highlighted the Canadian government’s commitment to promoting sustainable construction practices. As the nation pivots towards innovative materials and methods, Kalesnikoff Lumber stands as a pioneering example of what the future holds for the forest industry. With robust financial support and clear government strategies, Canada is poised to lead in sustainable construction, blending economic opportunity with ecological responsibility.