08:55 AM EST, 03/05/2025 (MT Newswires) -- GreenFirst Forest Products ( ICLTF ) on Wednesday expressed "deep concern" over the U.S. government's decision to impose a 25% tariff on Canadian softwood lumber that took effect Tuesday.

The company said the new tariff would drive an increase in prices of lumber and other building materials, resulting in higher prices of new homes in the U.S. GreenFirst said this increase in homebuilding expenses will make homeownership even more unattainable for already financially stretched American homebuyers.

"The imposition of this tariff is highly unfortunate and will have a significant impact on the entire industry," GreenFirst CEO Joel Fournier said.

GreenFirst operates four sawmills in northern Ontario and employs about 800 people. While it remains committed to its long-term vision of becoming a top-quartile producer in North America, the company said it is preparing strategies to mitigate the impact of the tariffs.

"We are actively working with both provincial and federal governments, as well as industry associations, to develop a support plan for the sector and to ensure that diplomatic efforts to remove these tariffs are accelerated," Fournier said.

GreenFirst's share price fell 1.6% on Tuesday to $4.45 on the TSX.