The Canadian government has committed up to C$11 million to modernise a sawmill in Mackenzie, British Columbia, in a bid to protect hundreds of jobs in a northern forestry town under pressure from United States tariffs.
The funding for Conifex Timber Inc., announced on 28 October by Pacific Economic Development Canada, comprises a repayable contribution of up to C$10 million and a non-repayable contribution of up to C$1 million. It comes through the Regional Tariff Response Initiative, part of a C$3.45 billion, four-year package for small and medium-sized businesses affected by tariffs. Ottawa says the scheme sits within C$7.5 billion in new and enhanced federal measures, on top of nearly C$25 billion in support since US tariffs took effect.
In its own statement, Conifex said the money would support a wider modernisation programme at the mill, including “investments in equipment, infrastructure and related improvements” intended to raise productivity, efficiency and competitiveness. The company sells lumber into the US, Canadian and Japanese markets.
Gregor Robertson, Minister of Housing and Infrastructure and minister responsible for Pacific Economic Development Canada, said: “A resilient forest sector is the foundation of strong communities across northern B.C.” Tim Hodgson, Minister of Energy and Natural Resources, said the investment was “securing the future of hundreds of jobs in northern British Columbia”, and linked it to a federal Forest Sector Strategy due in November 2026.
For rural communities in the UK and elsewhere that depend on one dominant industry, the Mackenzie investment offers a live example of how targeted, place-based support can be used to cushion trade shocks before they become job losses.
