Canfor Corporation has announced a series of significant changes to its operations in both Canada and the United States.
These changes are driven by persistent weak lumber markets, increased US tariffs, and the ongoing challenge of accessing economic fiber in British Columbia.
In Canada, Canfor has made the difficult decision to close its Plateau and Fort St. John sawmills in northern British Columbia. These closures will impact approximately 500 employees and remove 670 million board feet of annual production capacity from the company's BC operations. President and CEO Don Kayne expressed his deep regret for the impact these closures will have on employees, their families, and the surrounding communities.
Canfor has also announced plans to reduce production at its southern US operations. This includes indefinitely curtailing one shift at its Darlington facility in South Carolina and reducing operating hours at its Estill, South Carolina and Moultrie, Georgia locations. These changes will reduce lumber production by approximately 215 million board feet on an annualized basis.
The company has attributed these decisions to the challenging market conditions, including weak lumber demand and increased tariffs imposed by the United States. Canfor has stated that it will continue to monitor market conditions and make adjustments to its operations as needed.
These announcements mark a significant setback for Canfor and the forest industry in British Columbia. The closures and production cuts will have a ripple effect on the region's economy, impacting jobs, communities, and the broader forest sector.
Canfor Corporation, based in Vancouver, BC, is a global leader in high-value, low-carbon forest products, including lumber, engineered wood, pulp, and green energy. Operating over 50 facilities in Canada, the U.S., and Europe, Canfor holds a 70% stake in Sweden's Vida AB and a 54.8% interest in Canfor Pulp Products Inc.
