Thunder Bay Pulp and Paper to Close Newsprint Mill, Impacting 150 Employees

Thunder Bay Pulp and Paper announced Thursday it will discontinue newsprint mill operations due to declining demand. The closure affects 150 employees, though some with bumping rights may transfer to other mill positions. CEO Norm Bush stated to CBC News that North American newsprint demand has dropped 40 percent since Atlas Holdings acquired the company in 2022, with an 18 percent decline in 2025 alone. Another double-digit drop is anticipated in 2026, rendering production costs unsustainable. Bush emphasized no resurgence is expected due to ongoing electronic media substitution and a systemic long-term decline. The company is collaborating with unions and governments to provide transition supports for impacted workers. It will continue as a single-line Softwood Kraft mill, producing renewable energy for Ontario's grid, and plans investments there while preserving the paper machine for potential future conversion to products like linerboard—a process requiring years and hundreds of millions. Thunder Bay—Atikokan MPP Kevin Holland expressed disappointment, pledging provincial support including a worker response centre and urging federal aid. Recent closures include Domtar's Ignace sawmill and Interfor's Ear Falls facility, attributed to U.S. tariffs and weak markets.