Carrier Forest Products Inc. has announced that it will indefinitely curtail production at its sawmill in Big River, Saskatchewan, a decision that will affect approximately 117 employees as the forestry sector continues to face mounting economic challenges.
Employees were informed of the planned layoffs in a letter issued on July 16, which stated that production at the facility will be suspended beginning October 16 for an undetermined period.
In a statement, the company attributed the decision to several ongoing challenges, including persistent weak market conditions, the impact of the Canadian dollar on cross-border financing costs and reduced timber availability following last year’s wildfires.
Carrier explained that the weaker Canadian dollar has increased the cost of financing across the Canada–U.S. border, while wildfire damage has limited the timber supply available to support operations at the Big River mill.
Despite the production halt, the company said some employees will remain at the site until the end of January to help manage an orderly shutdown of operations.
Carrier also emphasized that the move does not represent a permanent closure. Management said it continues to evaluate options that could allow operations to resume in the future, while acknowledging the significant impact the curtailment will have on employees, their families, local communities, suppliers and customers.
Jeff Bromley, chair of the United Steelworkers Wood Council, described the announcement as devastating for workers but noted there is still reason for optimism because the company has not announced a permanent shutdown.
He added that forestry workers in British Columbia have experienced similar production cuts in recent months, although Saskatchewan’s forestry sector has generally managed to weather industry challenges more successfully until now.
The announcement also prompted political reaction. Saskatchewan New Democratic Party forestry critic Jordan McPhail criticized the provincial government, arguing that it has failed to protect the forestry industry from U.S. tariffs while allowing disease, insect infestations and wildfires to further weaken the province’s forests.
McPhail said his thoughts are with the 117 affected workers and their families, adding that the decision will create significant financial uncertainty for those impacted.
The Saskatchewan government had not issued an official response at the time of publication.
The production curtailment reflects the ongoing pressures facing Canada’s forestry industry, where market uncertainty, supply constraints and higher operating costs continue to affect mills and employment across several provinces.
