West Fraser Timber Co. Ltd. says it's permanently closing its sawmill in Fraser Lake, B.C., after an orderly wind-down.
The Vancouver-based company says it's unable to access economically viable fibre in the region.
West Fraser says the closure will affect about 175 employees, and it will mitigate the impact by providing work opportunities at its other operations.
The closure will reduce the company's Canadian lumber capacity by around 160 million board feet.
The news comes after an announcement earlier in January that West Fraser was closing its Maxville, Fla., sawmill and indefinitely curtailing operations at its Huttig, Ark., sawmill.
The company attributed the decision to high fibre costs and soft lumber markets.