Domtar has recently announced the indefinite halting of operations at the Howe Sound Pulp and Paper mill located on British Columbia’s Sunshine Coast. The decision was disclosed during a town hall meeting for employees at the Port Mellon site on August 20. Alongside this, Domtar confirmed that operations at the Bayview Fibre chipping facility will also be put on hold, impacting approximately 400 workers.
Andrew Appleton, a tugboat captain at the mill for 22 years, expressed his shock at the news, stating, “We’re just kind of in shock.” He added, “It’s something that, you know, I think we all thought that could happen down the road if things didn’t get better.” Appleton mentioned that employees were notifying their families about the situation, as their last day of work is set for October 19.
The closure marks the end of over a century of pulp production at the mill, which was established in 1909. The mill previously faced partial shutdown in 2015, affecting up to 180 workers. Domtar’s president, Luc Thériault, attributed the decision to the mill’s inability to cope with reduced demand from Asia, ongoing weak global pulp prices, and a decline in domestic fibre affordability.
Thériault emphasized that the closure was a result of market conditions and not a reflection of the employees’ efforts. He acknowledged the impact on the workforce and the surrounding community, promising to explore future opportunities if conditions improve. Meanwhile, Appleton, uncertain about his future job prospects, considers himself fortunate due to having a marine license that could potentially help him secure work on ferries.
The closure of the Howe Sound mill follows Domtar’s previous decision to permanently shut down its Crofton mill, affecting approximately 350 employees. The move has raised concerns about the broader forestry sector crisis. Unifor National president Lana Payne urged immediate action from governmental bodies to address the industry’s challenges.
Forests Minister Ravi Parmar expressed empathy for those affected by the closure, highlighting the sector’s struggle with global market shifts and historic low prices. He assured support for the Sunshine Coast community, emphasizing collaboration with local stakeholders to provide necessary assistance during this transition period.