Groupe Rémabec, will temporarily lay off most of its workers as the industry faces rising United States duties and weakening demand, according to Bloomberg News.
The manufacturing division, Arbec Forest Products Inc., is shutting down indefinitely, leading to more than 1,000 immediate job cuts. This figure could increase up to 1,400 jobs within the next few weeks, according to an official company announcement citing ongoing challenges related to resource accessibility and global trade dynamics.
Groupe Rémabec employs about 2,000 people and is headquartered in La Tuque, Quebec, Canada.
President Donald Trump's administration plans to nearly triple existing tariffs on Canadian softwood lumber imports. Current duties total 14.4%, yet these rates are expected to soar to 34% following adjustments outlined by the U.S. Department of Commerce earlier.
This development further complicates an already fragile economic situation, adding pressure not only on Groupe Rémabec but also other businesses reliant upon North American wood product exports.
Groupe Rémabec is the largest private forestry company in Quebec, Canada.
