Domtar announces closure of Howe Sound Pulp and Paper

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Domtar has announced the indefinite idling of operations at its Howe Sound Pulp and Paper mill in Port Mellon and the associated Bayview Fibre chipping facility, a move that will affect approximately 400 employees and mark the end of more than a century of pulp production on British Columbia’s Sunshine Coast. The company cited reduced demand from Asia, historically low global pulp prices, and declining availability of affordable domestic fibre as key factors behind the decision, with employees expected to remain on the job until Oct. 19. Union leaders and local residents have warned of significant economic impacts for the region, while BC Forests Minister Ravi Parmar described the closure as a reflection of the severe challenges facing the province’s pulp sector, noting that inflation-adjusted pulp prices are approaching their lowest level in nearly 100 years. The provincial government has pledged support for affected workers and communities as the industry faces growing competitive pressure from lower-cost global pulp producers.

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