CANADA (From news reports) -- Domtar will shut down its Ignace, Ontario, sawmill indefinitely on March 12, cutting about 25 jobs as it reduces lumber production by 150 million board feet in early 2026 across Canada and the U.S.

CEO Luc Thériault said low demand in North America forced the decision, which will affect workers, suppliers, and local communities. Domtar will continue adjusting production based on market conditions.

Jake Pastore, outreach lead for the Township of Ignace, said the municipality was informed of the closure and plans to meet with mill management. Wes Ridler of the United Steelworkers union said the shutdown reflects trade challenges, including a 10% tariff and 35% countervailing duty in the absence of a Canada-U.S. softwood lumber deal.

The mill was temporarily closed in December 2025 after the U.S. pulled out of trade talks with Canada. A production slowdown was also announced in November 2024.