As the global climate change mitigation efforts urge the transition towards a green economy, comprehending the carbon footprint of forest industry supply chain is crucial to ensure sustainable management and utilization of renewable resources. This research quantified the carbon footprint of four different forest product industries: chip mill, hardwood sawmill, softwood sawmill, and in-woods chipping in the Northeastern U.S. Additionally, the impact of transportation (road and rail) on carbon footprint was analyzed. Life cycle assessment (LCA) was performed using SimaPro 9.3.0.3 software and allied databases (USLCI and US-EI). The functional unit was 1 tonne for chip mill (wood chips) and 1 m³ for sawmill (planks). The highest-contributing inputs for the chip mill and softwood sawmill were transportation. However, in-woods chipping and the hardwood sawmill had raw materials, residual wood, and round wood as the highest-contributing input. The study also enumerated the substances that contributed most to environmental impacts. The carbon footprint of chip mill, in-woods chipping, hardwood, and softwood sawmill were 49.5, 21.7, 72.9, and 73.7 kg CO₂ eq per respective functional units, respectively. The results could assist the forest industry in promoting wood feedstock with a minimal carbon footprint and have educated engagement in an ever-evolving carbon market.