It’s another devastating blow to the forestry sector.
Canfor announced Tuesday it will permanently closing the Northwood Pulp Mill in Prince George by the end of the year.
About 300 employees will be affected.
The company said in a news release the pulp and paper sector continues to face significant challenges, including a structural shift in global pulp markets.
It also said persistent challenges accessing fibre have resulted in a prolonged period of unsustainable financial losses for Canfor Pulp.
“We recognize this is incredibly difficult news that will have a significant impact on our employees, their families, the businesses that support our operation, and the communities where we operate,” said Susan Yurkovich, President and CEO, Canfor.
“This decision is in no way a reflection of the dedication or hard work of our employees. The team at Northwood has worked tirelessly to improve performance, navigating challenging conditions to support their operation and we are grateful for their efforts. In the weeks ahead, we are committed to supporting our employees through this transition, including providing severance, and exploring opportunities to redeploy impacted employees to our other operating locations where possible.”
The closure will reduce annual Northern Bleached Softwood Kraft pulp production by about 300,000 tonnes.
B.C. Forests Minister Ravi Parmar issued the following statement in response to the closure:
“Today’s news that the Canfor Northwood pulp facility will be closing is heartbreaking for the workers, their families, contractors and the entire Prince George community and region.
I have reached out to Unifor Local 603, the City of Prince George and other community partners to offer my support and commitment to their community and workers. At the same time, staff in the ministries of Forests; Jobs and Economic Growth; and Social Development and Poverty Reduction, will be deploying support to affected workers.
We will be leaning on our federal government partners, through the recently signed Canada-British Columbia Cooperative Prosperity Agreement, to help support the transition the forestry sector is facing in the Prince George region.
As noted by Canfor, the closure of this facility is the result of a structural shift in global pulp markets and challenges in fibre supply.
There is no question that B.C.’s forestry sector is facing immense challenges from U.S. President Donald Trump’s tariffs and duties, weak lumber prices affecting sawmill operations, and a steep and continued decline in pulp prices. None of that softens today’s news, but it shows why we must keep pushing to stabilize and transform B.C.’s forestry sector.
My focus is on the people whose lives have been turned upside down by this news. The people of British Columbia stand with you during this difficult time.”
