December 2,2025
RED FM News Desk
About 350 employees will lose their jobs after Domtar announced Tuesday that it is permanently closing its pulp mill in Crofton, B.C. The company cited ongoing weak market conditions, poor pulp prices, and limited access to affordable fibre as reasons for the shutdown.
Domtar noted that workers had made significant efforts over the past 18 months to cut operating costs, but said those improvements were not enough to keep the mill viable. The company is now considering alternative future uses for the site.
Domtar acknowledged the impact on employees, the Cowichan Valley community, and the broader coastal forest sector, saying its priority is supporting workers through the transition. The company continues to operate three other mills in B.C., including one in Port Alberni, and says it intends to remain active in the province.
The B.C. Conservative Party called the closure a sign of a deteriorating forestry industry caused by government mismanagement and urged the province’s forestry minister to resign.
The shutdown is expected to reduce Domtar’s annual softwood pulp output by roughly 380,000 metric tonnes.
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