CIBC suggests average US duties would drop from about US$67 per thousand board feet to $30 based on current pricing levels.
Signs of potential slowing come after a strong run for the industry.
Analysts say price hike is due partly to a limited supply as mills across the province shutdown due to the fires.
Victory in the latest trade battle will only be secured if Canada uses all of the weapons in its arsenal.
Levies on Canadian softwood sent to the US currently range from three to 24%.
Plan expected to include EI enhancements for laid-off workers and funds to assist with exploring new markets and innovations.
About 94% of thermal coal exported through BC comes from the US.
White House makes it clear that issues over dairy and softwood lumber are related to NAFTA renegotiations.
Also fears of anti-dumping duty on softwood, renegotiating NAFTA and a border tax.
Companies are still optimistic about sales but many are concerned about potential US protectionist policies.
Former diplomat suggests there is little desire by the new US administration to reach any quick deal on softwood lumber.
Likelihood of softwood lumber import duties will weigh on bottom lines.
With the support of a Republican-controlled Senate and House of Representatives, Canada could feel some pain from the Trump administration.
Ex ambassador to the US says time is a factor as US elects Clinton or Trump, both critical of free trade.
US senators allege Canadian lumber is subsidized, unfairly traded and well-documented adverse economic impacts.