Canfor closing 2 B.C. sawmills, affecting 500 workers

Company cites financial losses, increased US tariffs among reasons behind closures

Canfor closing 2 B.C. sawmills, affecting 500 workers

Integrated forest products company Canfor will be closing two sawmills in British Columbia later this year, according to the company.

The move will affect about 500 workers, and the reasons behind the closures include increased U.S. tariffs, said the company.

“Increasing regulatory complexity, high operating costs and the inability to reliably access economically viable timber to support our manufacturing facilities has resulted in hundreds of millions of dollars of losses in our B.C. operations,” said Don Kayne, president and CEO, Canfor.

“The operating challenges we face have been further exacerbated by increases in the punitive U.S. tariffs announced on AUg. 13th – tariffs that are expected to more than double next year. Continuing to operate under these conditions would prolong the punishing anti-dumping duties and put additional operations at risk.”

The company said it would work with union partners on an employee transition plan, including severance.

The wind down of operations is expected to be completed by the end of the year, said Canfor.

Mastercard, SkipTheDishes, Cisco, Indeed and Citigroup, among others, have all announced layoffs this year. 

‘Shocked and saddened’ by Canfor closures

Canfor’s announcement was met with sadness by stakeholders.

“We are deeply shocked and saddened by this announcement from Canfor. This news is a significant hit to our community and the families directly affected. City Council has worked closely with industry partners like Canfor through recent challenging times, and we remain committed to advocating for better regulatory conditions to support our local economy and workforce,” said Fort St. John Mayor Lilia Hansen.

“I can’t imagine what is going through the minds of our members and their families in Vanderhoof and Ft. St. John following the announcement,” said Jeff Bromley, United Steelworkers (USW) Wood Council Chair.

But Brian O’Rourke, USW Local 1-2017 president, wants the provincial government to hold Canfor accountable following the announcement of the sawmill closures.

“This is another kick in the gut for our members. When does it stop? When is the B.C. government going to hold these companies accountable? Will the tenure and timber rights held by Canfor be taken away if they can’t mill that timber in those communities?

“I doubt it.”

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