Doerkson promises support for forestry sector as Millar Western shuts down Quesnel pulp mill indefinitely

Doerkson promises support for forestry sector as Millar Western shuts down Quesnel pulp mill indefinitely
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| Leda Omid
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Millar Western Forest Products is indefinitely shutting down operations at its Quesnel River Pulp mill, leaving workers facing job losses and raising new concerns about the future of BC's forestry sector.

The facility processes wood fibre into pulp used to manufacture paper and packaging products.

The company announced the decision Monday, citing ongoing market challenges and uncertainty over access to affordable fibre.

The move follows a temporary shutdown that began September 4 and affected approximately 90 employees. Operations were originally expected to resume in November, but the company has now determined that an indefinite curtailment is necessary.

In a letter to employees, Millar Western executive chair and CEO Karl Meyers said the company had explored alternatives before making the decision.

The company plans to complete the shutdown over the coming weeks while keeping the facility in a condition that would allow operations to restart if market conditions improve.

Affected employees will receive severance compensation and other support, including access to employee and family assistance resources. The company also plans to consider displaced workers for vacancies at its other operations.

Premier-designate Lorne Doerkson called the announcement a “hard blow” for Quesnel and the workers and families who depend on the mill. “Many of them have been off the job since September, holding out hope that they would be called back,” Doerkson said in a statement on X Monday.

Doerkson said his incoming Conservative government would focus on increasing access to timber and speeding up permitting to help struggling forestry operations remain competitive.

“Getting more fibre on the trucks and getting permits approved in months rather than years is how the mills we still have keep running, and how a mill that has gone quiet gets a reason to start back up.”

He said the province would work with Millar Western and the City of Quesnel to determine what would be needed to restart production.

“There's no overnight fix,” Doerkson said, adding that his government would work to ensure affected workers receive support.

Quesnel Mayor Coralee Oakes also called for municipalities to be included in discussions about the challenges facing the forestry industry.

“It is critical that municipalities like Quesnel be included in these conversations,” Oakes wrote in a post on X Monday.

Oakes said 53% of Quesnel's tax base depends on industries exposed to tariffs, underscoring the potential economic impact on the community.

“We need more than resume writing workshops we need real action and support!” she added.

The decision comes amid continued challenges for BC's forestry industry, including weak pulp markets, international trade pressures, and difficulties securing economically viable fibre supplies.

BC forestry critic warns mill closures 'affect everybody' as Quesnel River Pulp announces curtailment
Stamer pointed out that in 2021, the forest sector contributed $1.9 billion directly to the provincial revenue, and that in 2025, it shrunk to $500 million.

When Millar Western first announced the temporary shutdown in August, it pointed to reduced demand, low prices, and tariffs affecting exports to China.

The federal government announced a $100-million loan to Millar Western in July through its Large Enterprise Tariff Loan facility to help the company manage trade-related uncertainty and strengthen its operations.

At the time, Ottawa said the company employed more than 420 full-time workers across its operations in BC and Alberta, with 93% of its sales going to Asian markets, primarily China.

Despite the latest announcement, Millar Western has not ruled out reopening its Quesnel facility. However, there is currently no timeline for production to resume.

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