In recent years, the application of biotechnology to agriculture has resulted in a host of changes and innovations. Transgenic (genetically modified) crops are now common in much of North American agriculture. Transgenic forestry is not yet at that level of commercial application. However, there are numerous biotechnological innovations under development in forestry, many of them adapted from agriculture. This paper provides an introduction and background into transgenic trees and forestry. It then discusses some aspects of the economic potential and the regulatory system related to transgenic trees.