Interfor will indefinitely curtail operations at its sawmills in Nairn Centre and Gogama, Ontario, citing weak market conditions, rising costs and continued pressure from U.S. softwood lumber duties.
The decision reflects ongoing challenges across the lumber sector, where demand remains subdued and profitability is strained by an imbalance between costs and market pricing.
Market pressure and trade tensions
Interfor said persistent market headwinds and U.S. trade actions, including softwood lumber tariffs, have made it increasingly difficult to operate certain facilities on a sustainable basis.
The move comes as Canadian producers continue to face elevated duties on exports to the U.S., alongside broader geopolitical and cost pressures affecting the sector.
Operations to wind down
The Nairn Centre facility is expected to continue operating for a limited period to process existing log inventories, with sawmill operations likely to run into early to mid-June and planer operations extending slightly longer.
No restart timeline has been provided for either facility.
Jobs and regional impact
While the company has not confirmed the number of affected employees, the curtailment is expected to have a significant impact on local communities in Northern Ontario, where the mills have long served as major employers.
The decision follows earlier production curtailments and closures across Interfor’s network, including a prior shutdown at the Ear Falls sawmill.
Ongoing industry adjustment
The move highlights continued restructuring across the North American lumber industry, as producers adjust capacity in response to weaker demand, high input costs and trade-related constraints.
Interfor is expected to release its first-quarter financial results in mid-May.
Interfor is a Canadian-based forest products company producing lumber across operations in Canada and the United States.
