Wildfires, U.S. tariffs blamed for suspension of operations at Sask. sawmill

Wildfires, U.S. tariffs blamed for suspension of operations at Sask. sawmill

Decision to 'indefinitely curtail production' of sawmill in Big River will affect 117 workers

The company that owns the sawmill in the town of Big River has told 117 employees that economic conditions are forcing it to suspend operations "indefinitely."

Carrier Forest Products Ltd. sent a letter to its employees dated Thursday explaining that layoff notices for the 117 workers will range from Oct. 16 to Jan. 29, 2027 as a result of the company's "unfortunate and difficult decision to indefinitely curtail production."

The company blamed "weak market conditions" in the letter, but also referenced Canada-United States trade and the impact of wildfires.

"The recent falling Canadian dollar is significantly increasing the cost of cross-border financing, and the negative impact of last year's wildfires are significantly and negatively impacting the timber volumes available to the Big River facility," the letter says.

It letter says the company has not made a decision about closing the mill permanently and will consider options to resume operations.

Jeff Bromley, chair of the United Steelworkers Wood Council, the union that represents employees at the sawmill, linked the suspension to tariffs under President Donald Trump.

"It's pretty devastating to the community of Big River," Bromley told CBC. "It's not a big community and it's the biggest employer in the community by far."

Big River has a population of 666 people, according to the 2021 census. It's located on the shore of Cowan Lake, about 130 kilometres northwest of Prince Albert.

Bromley said the lumber industry in Canada is struggling amid the 45 per cent tariff on products shipped to the U.S. He said the forestry industry in British Columbia has experienced similar closures.

"It's pretty shocking actually for one of our mills in Saskatchewan to be impacted," Bromley said.

Carrier, which bought the sawmill in 2011, is a "really good company," Bromley said, adding there is a sliver of hope that a permanent closure was not announced.

"We sincerely regret the impact that this curtailment will have on our employees, their families, their communities, our suppliers and our customers," the unsigned letter from Carrier said.

Carollyn Meginbir, a store manager at Timberlost Outdoors and Surplus in Big River, said in an interview Friday that people are trying to stay upbeat despite the news.

"It's the talk of the town right now," said Meginbir, who has helped operate the store for eight years. "It's a bit surprising, and of course there's a bit of concern, but the community's been through a [sawmill] closure before.

"So everybody's staying positive and just encouraging one another. So it's good to see."

The sawmill closed in 2007, throwing about 200 employees out of work, then reopened in 2014. Former premier Brad Wall attended the reopening ceremony in 2014.

Meginbir described the community as "close-knit" and "resourceful."

Saskatchewan Minister of Energy and Resources Chris Beaudry said in an emailed statement Friday that the province is committed to supporting the workers affected by the suspension.

Beaudry called the closure "a direct result of the unjustified U.S. tariffs and duties" and other market factors.

NDP Opposition forestry critic Jordan McPhail blamed the Saskatchewan Party government, accusing it of mismanaging the forestry industry and citing a failure to support the sector in response to American tariffs.

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A statement from McPhail also cited the effect of wildfires, disease and insects on the province's forests.

According to the Encyclopedia of Saskatchewan, the mill in Big River dates back to the early 20th century. The encyclopedia says the Big River Lumber Company was reportedly operating the largest sawmill in the British Empire by 1911.

Saskatchewan's forestry sector supported nearly 8,000 jobs and sold more than $1 billion worth of products last year, according to the province.

Phil Tank is an award-winning journalist based in Saskatoon. He can be reached at phil.tank@cbc.ca.