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Economic Overview
2017-2021 FINANCIAL PLAN
The Softwood Lumber Trade
Agreement, signed with the US
in 2006, recently expired. The US
lumber coalition filed a petition
with the US Department of
Commerce on the basis that
Canadian lumber is being sold in
the US at less than fair value.
The Department of Commerce’s
preliminary findings state that
there is reasonable indication
that Canadian lumber subsidies
harm American producers. The
US is the largest market for BC
softwood lumber with exports of
$4.7 billion in 2016. Higher trade
barriers and duties may be imposed
later this year, leading to possible job losses and mill closures.
Woodfibre LNG has made a final investment decision to build a $1.6 billion plant near
Squamish. Construction is expected to commence once permit approval from the BC Oil
and Gas Commission is granted.
SURREY’S FINANCIAL PERFORMANCE
2016 proved to be a very strong year for the residential sector throughout the entire
Lower Mainland, with the City of Surrey being no exception. The City experienced
significant increases in both sales numbers and values from the previous year, with the
peak of the market activity occurring during the summer. During the last half of the year,
the residential market stabilized and in some parts of the City cooled slightly, due in part
to more stringent requirements for mortgage qualification by the banking sector and the
implementation of a “Foreign Buyers” tax by the Provincial Government. Overall
however, the prices for single family homes within the City are generally still notable
higher when compared to last year.
Commercial and Industrial development activity was slightly lower this year compared
to the previous year but still considered healthy, with new activity experienced in all
parts of the City.
2016 also celebrated the public opening of Surrey’s newest and largest aquatic facility-
Grandview Heights Aquatic Centre. This state of the art, world class facility includes a 10
lane, 50m FINA-standard Olympic size competitive pool, a 500 square meter leisure and
life-style pool and world class diving facilities. The facility also provides a state of the art
fitness and weight training room.
Source: Bank of Montreal Economics
-0.5%
+0.0%
+0.5%
+1.0%
+1.5%
+2.0%
+2.5%
+3.0%
2013
Actual
2014
Actual
2015
Actual
2016
Forecast
2017
Forecast
Consumer Price Index 2013 - 2017
Canada
USA
BC
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