Hope Remains for Vancouver Island's Two Pulp Mills Despite Industry Turmoil

Vancouver Island's two remaining pulp mills are pursuing strategies aimed at navigating industry pressures despite recent mill closures, market challenges and new U.S. tariffs on certain Canadian pulp and paper products, according to CBC News.

Nanaimo Forest Products, which operates the Harmac Pacific Pulp Mill near Nanaimo, said most of its specialty wood products have been spared by the tariffs and are primarily exported to Asian markets.

Harmac CEO and general manager Paul Sadler said the company is focused on exports to Japan, South Korea, China, Indonesia and Australia. The mill produces northern bleached softwood kraft pulp, commonly used in products such as tissues and paper towels.

The company has also diversified its revenue by generating power for B.C. Hydro using surplus sawdust and bark. Sadler said Harmac produces enough energy to power 20,000 homes in the Nanaimo region.

In Port Alberni, Mayor Sharie Minions said there is optimism surrounding the local Domtar-owned pulp mill, which employs about 350 people and produces food-grade paper. The impact of the new tariffs on the facility remains unclear, while Domtar has not commented on the tariffs.

The potential effects of the tariffs could also extend across Vancouver Island's forestry supply chain, affecting transportation contractors, suppliers and smaller communities that depend heavily on the sector.