Government of Canada announces loan support to Millar Western Forest Products Ltd.
News release
July 27, 2026 – Ottawa, Ontario – Department of Finance Canada
Canada’s forest sector has been impacted by ongoing trade disputes, particularly between the U.S. and China, which has created weak market conditions for softwood lumber, pulp, and other forest products resulting in ongoing economic uncertainty for workers and their families.
Today, the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, highlighted a $100 million loan to Millar Western Forest Products Ltd. through the Large Enterprise Tariff Loan (LETL) facility. As part of the Government of Canada’s efforts to support and protect Canadian businesses facing trade-related uncertainty, this loan will provide the company with the flexibility to strengthen its near-term operations, including rebuilding its log inventory, and adapt to evolving market conditions while protecting jobs.
Millar Western produces high-quality hardwood and softwood pulp from three mills in Slave Lake and Whitecourt, Alberta, and Quesnel, British Columbia. The company employs more than 420 full-time workers and supports approximately 300 contractors in maintenance, field-level forestry and consulting services. As an export-oriented business, Millar Western ships most of its products internationally, with 93 per cent of its sales going to Asian markets, primarily China.
Canada’s forest sector is a cornerstone of Canada’s economy. For generations, Canada’s forests have supported hundreds of thousands of jobs in communities across Canada. Today, the sector directly employs nearly 200,000 Canadians and serves as a key economic driver for many rural, remote and Indigenous communities. The sector also creates significant positive spin-off effects in related industries and services.
Quotes
“Our government continues to take action to support Canadian companies facing challenging global market conditions, including those in the forest sector. This support to Millar Western Forest Products will allow the company to navigate these challenging times for its industry, support its workers and help position the company for long-term success. This is about protecting jobs, supporting communities and protecting the competitiveness of a key Canadian industry.”
- The Honourable François-Philippe Champagne, Minister of Finance and National Revenue
"Canada’s forests are the foundation for good jobs, affordable housing, and sustainable economic growth from coast to coast to coast. At this moment of global instability, we are supporting and stabilizing the industry today, while positioning it to thrive for tomorrow. Our government is proud to support Millar Western Forest Products, who create good Canadian jobs and are leading in world-class Canadian forest products."
- The Honourable Tim Hodgson, Minister of Energy and Natural Resources
Quick facts
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This loan will be provided by the Canada Enterprise Emergency Funding Corporation through the Large Enterprise Tariff Loan facility.
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In March 2025, the government announced the creation of the Large Enterprise Tariff Loan (LETL) facility, a $10 billion financing facility to support Canadian companies affected by actual or potential tariffs and countermeasures.
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Contacts
Media may contact:
John Fragos
Press Secretary
Office of the Minister of Finance and National Revenue
john.fragos@fin.gc.ca
Media Relations
Department of Finance Canada
mediare@fin.gc.ca
613-369-4000
General enquiries:
Phone: 1-833-712-2292
TTY: 613-369-3230
E-mail: financepublic-financepublique@fin.gc.ca
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