Canfor Announces Permanent Closure of Fox Creek Sawmill

Rubber and Wood | 2026-07-29 11:27:20 | By Paul Ploumis

The Fox Creek mill was originally rebuilt in 2011 after a fire destroyed the previous facility in 2008.

Summary

Mill closure: Canfor will permanently shut its Fox Creek sawmill by late summer, reducing annual capacity by 120 million board feet.
Reasons cited: Shrinking fibre supply, weak lumber markets, U.S. softwood lumber duties, and wildfire impacts made the mill uneconomic.
Community impact: The closure will affect employees, contractors, and the local community, with Canfor offering redeployment opportunities where possible.

SEATTLE (Scrap Monster): Canfor Corporation has announced the permanent closure of its Fox Creek sawmill in Alberta. The company stated that shrinking timber supply, weak lumber market conditions, and continued trade pressures have made the facility economically unsustainable.

The company said operations at the mill are expected to end by late summer. The latest sawmill closure is expected to reduce its annual production capacity by approximately 120 million board feet.

According to Canfor, the decision follows years of mounting challenges, including persistent U.S. softwood lumber duties and tariffs, sluggish market demand, and a declining supply of fibre. The region's timber resources have been further impacted by recent wildfires and the completion of Alberta's mountain pine beetle management program.

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Canfor said it worked with Alberta's Ministry of Forestry and Parks to secure additional fibre sources to keep the mill operating. However, with the pine beetle program now concluded and most wildfire-damaged timber already harvested, the remaining fibre supply is no longer sufficient to support long-term operations.

The closure is expected to impact not only employees but also contractors and the local community. President and CEO Susan Yurkovich said the company is committed to supporting affected workers by providing employment opportunities at other Canfor facilities where possible.

The Fox Creek mill was originally rebuilt in 2011 after a fire destroyed the previous facility in 2008.