Actually, Canfor wanted to invest 200 million US dollars in a new sawmill in Houston/CA. Now the company is announcing that it will not build the new plant after all and will also permanently close its Polar sawmill in Bear Lake.
The company cites the ongoing shortage of commercially available wood and the challenging operating conditions in northern British Columbia as the reasons.
Don Kayne, President and CEO of Canfor Corporation, commented: "The ability to reliably source enough economical timber to run our production facilities is critical to our business. Unfortunately, although our province has enough timber to harvest according to the annual allowable felling set by BC's Chief Forester, the actual harvest volume has decreased dramatically in recent years. In 2023, the actual harvest was 42% below the permitted felling – a level not seen since the 1960s. This decline is partly the result of natural disturbances – particularly bark beetle infestations and wildfires – but also the result of the cumulative impact of policy changes and increasing regulatory complexity."
Just a few days ago, Canfor announced the purchase of another sawmill in the southern United States .
West Fraser shut down two sawmills in less than twelve months and sold three pulp mills in that time.
