How boat builders can weather the looming lumber crisis
By Sean Petterson
A massive 35% tariff hike on Canadian softwood lumber is about to hit — and the marine industry is squarely in the crosshairs. Just last year, the tariff was 14.4%, but with an additional 20% set to take effect, the pressure on boat builders and marine suppliers will intensify.
With already stressed supply chains, prices for essential materials like marine plywood, decking cores, and structural framing could surge. During the Covid-era lumber crisis, supply chain disruptions caused prices to quadruple, leading to skyrocketing costs and major production delays. This time, the fallout could be even more severe — but it also opens the door for a smarter, more resilient approach to boatbuilding materials.
Supply chain turbulence in the marine industry
The marine sector depends heavily on a few key sources for building materials. Canada supplies 85% of U.S. softwood lumber imports, with additional sources like Russia and China comprising a significant share. Even before new tariffs, supply disruptions from Covid-19 and geopolitical tensions exposed just how vulnerable global lumber flows are.
For the marine industry — already facing backlogs in resins, epoxies, and specialty components — another shock to lumber supply could trigger months-long boatyard delays and soaring costs for new builds and retrofits.
The environmental cost of marine plywood
While media attention often focuses on the carbon footprint of emerging industries like AI, wood harvesting contributes nearly 10% of global carbon emissions — compared to AI’s estimated 2–3.7% emissions share. Logging for marine plywood removes crucial carbon sinks and accelerates soil erosion, habitat loss, and biodiversity collapse.
Further downstream, the chemical treatments used to make plywood water-resistant (such as phenol-formaldehyde resins) release toxic compounds into marine ecosystems. Studies show these chemicals harm aquatic life and can accumulate up the food chain, threatening both wildlife and human health.
Health risks in enclosed marine spaces
Formaldehyde, commonly used in marine plywood and particleboard adhesives, is classified as a known human carcinogen by the National Cancer Institute. According to the EPA, formaldehyde exposure in indoor air is often ten times the agency’s risk level goals.
This is especially concerning in tight boat cabins and enclosed environments where off-gassing from materials can accumulate. Crew members, liveaboard boaters, and shipyard workers are particularly vulnerable to elevated formaldehyde exposure — yet few alternatives have been widely adopted.
The case for rethinking marine construction materials
Doubling down on domestic lumber is not the answer. Expanding timber production carries its own environmental costs and would likely drive marine material prices even higher. Innovation, not replication, is the key.
Recycled plastics, specifically high-density polyethylene (HDPE), now offer a compelling alternative to traditional marine plywood. Recent studies and in-house testing show that HDPE panels outperform even the highest grades of traditional plywood for strength, flexibility, and weather resistance. They are completely waterproof and UV-resistant, making them ideal for hull reinforcements, decking, cabinetry, and other marine applications.
An abundant, untapped resource
The United States produces an estimated 35 million tons of plastic waste annually, much of which ends up in landfills or incinerators. Tapping into this near-endless domestic resource for marine building materials would reduce dependence on volatile foreign suppliers while slashing environmental and health impacts.
Unlike wood, recycled plastic composites require no toxic chemical treatments, are immune to rot, and provide a longer service life, saving owners and builders significant time and maintenance costs over a vessel’s lifetime.
A call to action for the marine industry
The marine sector has always been defined by resilience, ingenuity, and the drive to adapt. Whether or not the new lumber tariffs stay in place long-term, now is the time to invest in alternatives that protect the environment, improve vessel performance, and future-proof supply chains.
Innovation is in boating’s DNA — and the materials we use should reflect that spirit. It’s time to chart a new course.
