British Columbia has appointed two negotiators to discuss the future of Domtar’s Howe Sound pulp mill, following the company’s announcement of indefinite idling at Howe Sound and the Bayview Fibre chipping facility.
Don Wright, a former senior provincial public servant, and Don Kayne, former president and CEO of Canfor, have been selected for the discussions, according to Powell River–Sunshine Coast MLA Randene Neill.
Neill told the Coast Reporter that Domtar had accepted the province’s offer to resume discussions aimed at keeping the mill operating and preserving jobs. She identified access to affordable wood supply and work with BC Hydro among the issues to be explored, without outlining specific measures or a timetable for an agreement.
Fibre supply and market pressures
Domtar’s August 20 announcement covers both the Howe Sound pulp mill and Bayview Fibre chipping facility in Port Mellon, British Columbia. The company said the decision would affect approximately 400 employees and remove about 380,000 tonnes of northern bleached softwood kraft pulp from the market annually.
Domtar attributed the decision to weaker demand from Asia, persistently poor global pulp prices and declining access to affordable domestic fibre. It said those pressures remained despite nearly C$500 million in capital investment since the mill was purchased in 2010, along with the construction of Bayview Fibre.
Fibre availability is therefore only part of the economic challenge. The company also cited demand and pricing pressures that affect the viability of pulp production.
In its initial response to the idling announcement, the provincial government said it was prepared to seek practical, long-term solutions through a cross-government working group. Forests Minister Ravi Parmar stressed that Domtar’s continued participation would be important to that effort.
Government and industry experience
Wright previously served as British Columbia’s deputy minister to the premier, cabinet secretary and head of the public service. In July 2025, B.C.’s minister of forests appointed him as a strategic advisor on softwood lumber.
Kayne served as president and CEO of Canfor from 2011 to 2024 and as CEO of Canfor Pulp Products from 2012 to 2022. He also serves on the boards of BC Hydro and Powerex, according to his corporate biography.
Neill’s announcement concerns renewed discussions rather than an agreement to maintain production. Domtar said in August that it would evaluate future opportunities if market conditions, fibre availability and the broader business environment improved.
