Local union leaders take Canfor to task over Vanderhoof, Fort St. John mill closures

Union leaders are blasting Canfor’s decision to shut down its Vanderhoof and Fort St. John sawmills by the end of this year, displacing 500 workers as a result.

The company blames weak lumber markets, US tariffs on softwood lumber and huge financial losses in relation to the permanent closure.

Last month, the US Department of Commerce announced it’s nearly doubling its countervailing and anti-dumping duties to 14.54% – this after the rate was 7.99% in July of 2023.

However, United Steelworkers 1-2017 President Brian O’Rourke doesn’t buy that logic and believes a temporary scaleback in production would have been just fine.

“If they were to turn around and say things are tight right now and we may need to take a couple of months out of the pick and take a temporary curtailment that might be something to look at first. But, when they directly go to a full out closure, it doesn’t sit well with us I will tell you that.”

“We do know that the fibre availability out there needs to be managed in a better way and we know eventually the price of lumber is going to go up again like it always does. It’s never always up to the twelve and fifteen hundred dollar range where these companies were making hand over fist.”

“The big players have been fighting with the US government on those tariffs for many, many years and keep winning in the courts. I think the timing and the money that has been paid in will return like it has been in the past,” added O’Rourke.

Chuck Leblanc, who is the national 1st Vice-President for the Public and Private Workers of Canada stated it’s pretty clear Canfor doesn’t see a future in BC.

“You are down to two pulp mill lines, a paper line and a couple of sawmills. It’s obvious they think they can make money elsewhere.”

“If that is their plan to move out of BC, then get it done, sell off your assets and do what you have to do – we will take back the timber and someone else will look after it.”

Both agree the province should pull Canfor’s log tenure and re-distribute to individuals or companies who want to start up a more viable operation.

Canfor noted 220 direct jobs will be lost in Fort St. John while another 260 are set to be eliminated in Vanderhoof. This includes hourly, salaried, pellet plant and regional staff.

CEO Don Kayne noted in a briefing yesterday (Wednesday), the decision to close both northern BC locations wasn’t made lightly.

“While we always been prepared to manage through challenging times and market fluctuations, the situation we find ourselves in today is unsustainable.”

“Duties that are expected to more than double again next year we simply cannot continue to sustain losses of this magnitude. We are disheartened to have to make these decisions and I am personally saddened and frustrated with the state of the BC forest industry.”