Northern Ont. sawmills idled ‘indefinitely’ because of U.S. tariffs

Interfor has announced it is indefinitely curtailing operations at its facilities in Nairn Centre and Gogama facilities due to weak market conditions.

While the company hasn’t said how many workers will be affected, Sudbury East-Manitoulin-Nickel Belt MP Jim Bélanger said in a statement April 23 that the decision “is expected to result in the loss of more than 200 good-paying forestry jobs beginning in early June.”

In an email to CTV News, Interfor spokesperson Svetlana Kayumova said the lumber market has been hit hard by tariffs imposed the United States as part of its trade war with Canada.

U.S. ‘trade actions’

“Like many others in our sector, we are navigating a combination of persistent market headwinds and the continued impact of U.S. trade actions, including softwood lumber duties,” Kayumova said.

“These pressures have made it increasingly difficult to operate certain facilities in a sustainable way. We recognize the impact this has on our employees, their families, and the broader community, and we are working with these stakeholders as this decision is implemented.”

U.S. softwood lumber tariffs are 35 per cent, although recent reports have them being lowered to 25 per cent in August.

On Thursday, Canadian Prime Minister Mark Carney said tariffs on forestry products imposed by the U.S. are a direct violation of existing trade agreements.

But in his statement, Bélanger, a Conservative MP, said the fault lies with the federal government’s failure to get the U.S. tariffs lifted.

“These closures are devastating for workers, their families, and our region,” he said in the statement.

“The federal government’s inaction on softwood lumber tariffs is pricing Canadian lumber out of the market and putting northern Ontario jobs at serious risk.”

Bélanger called on the federal government “to intensify efforts to reduce tariffs and work with industry and communities to stabilize the forestry sector and prevent further job losses.”

When asked by CTV News to respond to those comments, Pauline Rochefort, a Liberal MP representing Nipissing—Timiskaming, sent a statement that said the softwood lumber dispute is one of the oldest trade disputes between the two nations.

Former wood council president

“It is deeply concerning that this vital industry—supporting thousands of Canadian workers—continues to face unfair and unjustified trade measures,“ the statement said.

Rochefort said she witnessed the impact of the trade disputes first-hand when she was president of the Canadian Wood Council during Softwood Lumber Dispute IV (2001–2007), “when communities experienced significant job losses and economic uncertainty.”

“As a northern Ontario Member of Parliament and Parliamentary Secretary for Rural Development, I extend my sincere regrets to the workers and families affected by curtailed operations at Interfor’s Nairn Centre and Gogama facilities,” she said.

“These are difficult decisions with real consequences for families and communities, and I recognize they are not made lightly.”

She said the Liberals have provided $2.5 billion in support to the sector “while continuing to engage the United States to resolve this dispute.”

“We also look forward to receiving the recommendations of the Forestry Sector Transformation Task Force, which will provide important ideas to strengthen and modernize the industry for the future,” Rochefort added.

Tariffs are ‘unfair’

Sudbury MP Viviane Lapointe, also a Liberal, said in a statement that the industry is a victim of “unfair U.S. tariffs.”

“The closure of the mills in Nairn Centre and Gogama is difficult news for the workers, their families, and the communities,” Lapointe said in a statement Friday.

“Interfor has committed to working with the employees and the community as they implement the closure of the facilities ... “The closure of the mills in Nairn Centre and Gogama is difficult news for the workers, their families, and the communities. Interfor has committed to working with the employees and the community as they implement the closure of the facilities.”