As Trump tariffs debated, Canada company makes good on $123 million Mississippi investment
Southeastern Timber Products is a family-owned-and-operated manufacturer of southern yellow pine lumber, timber and decking products. The company is expanding its Ackerman sawmill to increase production capacity from 120 million board feet per year to 300 million board feet per year. To facilitate the project, Southeastern Timber Products will install a new sawmill line, new dry kilns and storage facilities.
Southeastern Timber Products has a joint venture partnership with Tolko Industries Ltd., a company based in Vernon, British Columbia, Canada.
One of the largest Canadian investments in Mississippi, Tolko has embarked on what will ultimately be a $150 million investment in the STP lumber mill that was announced in 2022. Under the banner of Southeastern Timber Products LLC, the project is a joint venture with STP Holdings, LLC.
'Today's announcement enables us to further invest in our people, customers and local community," said David Manley, Tolko Industries U.S. Ltd. vice president. "We greatly appreciate the Mississippi government's support of all strategic investments that will help us by continuing to grow STP's capacity to 300 million board feet per year.'
The news comes at a time President Donald J. Trump wants to sign an executive order introducing a 25% tariff on all goods coming from Mexico and Canada and a 10% tariff on goods from China. The order on China went into effect on Tuesday, while the orders on Canada and and Mexico have been put on hold as of Wednesday.
Canada is Mississippi's largest trading partner and Mississippi would likely feel negative impacts from a 25% tariff on all goods coming from Canada. There also would likely be some reactionary impacts on goods that are exported from Mississippi to Canada.
What's next:Trump takes aim at largest MS trading partner. See impact on proposed tariffs with Canada
More jobs:New company bringing 250 jobs to Mississippi. Get the details
Mississippi Development Authority is providing assistance through the Mississippi Flexible Tax Incentive, or MFLEX, program. Choctaw County also is assisting with the project.
The 40 new jobs are expected to come to fruition within the next two years.
'This project not only strengthens Southeastern Timber's long-term relationship with Mississippi, it also brings 40 new opportunities to the people of Choctaw County and the surrounding area," said Bill Cork, Mississippi Development Authority executive director, in a statement. "This $123.4 million investment will enhance the company's operations and encourage future growth, both of which benefit the local workforce and economy for generations. MDA appreciates the Southeastern Timber team for once again choosing Mississippi to continue the company's legacy of producing top-quality lumber, timber and wood products.'
Ross Reily is a writer for the Clarion Ledger, part of the USA TODAY Network. He can be reached at rreily@gannett.com or 601-573-2952. You can follow him on the X platform, formerly known as Twitter @GreenOkra1.
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It was not immediately clear what recourse the board or the government have if the union continues to refuse. Labor leaders are objecting to the Canadian government's repeated use of a law that cuts off workers' right to strike and forces them into arbitration, a step the government took in recent years with workers at ports, railways and elsewhere. 'We are in a situation where literally hundreds of thousands of Canadians and visitors to our country are being disrupted by this action,' Prime Minister Mark Carney said. 'I urge both parties to resolve this as quickly as possible.' Carney stressed it was important that flight attendants were compensated fairly at all times. Air Canada operates around 700 flights per day. The airline estimated Monday that 500,000 customers would be affected by flight cancellations. 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Brzymowski, who consults businesses on energy-efficient practices, said he was set to start a new job Monday but lost out on the contract because he wasn't back in Montreal in time. 'I wasn't planning on losing my job over vacation,' he said. Frustrated by what he described as a lack of communication from the airline, Brzymowski said he went to the airport in Prague on Monday morning and was able to get the airline to book them a new flight on Aug. 25 — more than a week after their original flight. He said his children will also miss the first day of the new school year, and his wife won't get paid for the week because she used the last of her paid time off for the year for this trip. 'I, for one, will never fly Air Canada again,' Brzymowski said. 'I'll take a boat if I have to.' 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