The Ontario government is investing $10 million through the Forest Sector Investment and Innovation Program to support Daiken North America’s $70 million upgrade of its laminated board production line in Huntsville. The investment will help the company bring a new, proprietary wood panel to market, the first of its kind globally, aimed at applications in flooring, recreational vehicles, and modular housing. The project supports 128 current jobs and creates 10 new positions, according to the Ministry of Natural Resources.
Daiken’s new wood panel product, branded as DIO woodcore, was first developed by its parent company in Japan in 2017–2018 as a replacement for imported hardwood plywood. The product merges the structural strength and nail-holding capabilities of oriented strand board with the surface finish of particle board. It can be manufactured in custom thicknesses as thin as 2.7 mm and is designed to offer a higher-performance, lower-cost alternative to imports for North American markets.
Daiken North America’s Huntsville facility, which currently employs 128 people, supplies panel products to original equipment manufacturers and distributors in both Canada and the United States. The upgraded line is expected to strengthen domestic manufacturing supply chains and extend the reach of Ontario-made forest products into international markets.
The Ontario government states that this investment will enhance the province’s position as a global leader in innovative and sustainably-sourced wood manufacturing. It also aims to strengthen the regional forestry economy by creating a new market for underused wood and supporting 28 forest sector businesses across the area.
Daiken Corporation, the parent company headquartered in Japan, employs nearly 4,000 people globally and reported net sales equivalent to $2.3 billion in 2022. The company chose Huntsville as the base for its North American operations following market research identifying strong regional demand.
The Ontario forest sector generated $21.6 billion in revenue from manufactured goods and services in 2023 and supported 128,000 direct and indirect jobs in 2024. Under the Forest Sector Investment and Innovation Program, the province will allocate over $72 million to help forestry companies adopt new technologies, improve productivity, and compete in global markets through product innovation.
Daiken’s project also supports the provincial government's broader strategy outlined in Sustainable Growth: Ontario’s Forest Sector Strategy and the Forest Biomass Action Plan, which aim to protect jobs, promote sustainable practices, and increase the use of forest biomass in manufacturing.
