Northern Ontario leaders plead for federal help to save Kap Paper Mill

By Lydia Chubak
CTV News
September 17, 2025
Category: Business & Politics
Region: Canada, Canada East

ONTARIO — The Federation of Northern Ontario Municipalities (FONOM) is issuing a stark warning that the Kap Paper Mill in Kapuskasing faces imminent closure without urgent financial support from the federal government. In a direct appeal, FONOM has stated the mill could shutter within two weeks if funding is not secured. FONOM President Danny Whalen confirmed the anxious wait for a federal response. …Kapuskasing Mayor Dave Plourde described the mill’s status over the past year as a “roller coaster ride. …We just need the federal government to ensure the 2500 jobs that would be affected in our area”. …Whalen pointed to punishing international tariffs as a core issue hindering the industry. …Plourde explained that the mill’s closure would trigger a catastrophic domino effect, crippling the entire local forestry sector as sawmills in the region rely on the Kap Paper Mill to consume their wood by-products, such as chips and sawdust.

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