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Témiscaming residents seek to buy back RYAM paper mill after US tariffs halt production

The shutdown of the town's main employer has prompted a local coalition to organize a purchase from the mill's American owner, with support sought from federal and provincial governments.

By Yasmin Nasser ·

Illustration for: Témiscaming residents seek to buy back RYAM paper mill after US tariffs halt production
Illustration generated for this article, not a news photograph.

Residents of Témiscaming, Quebec, are organizing to purchase the local paper mill from RYAM after the American company declared an indefinite economic shutdown in early October. The mill, which employs 360 people, was the primary economic anchor for the town, which was established over a century ago around the forestry industry. The closure followed the imposition of US tariffs on Canadian goods, including pulp and paper products.

The shutdown has left most of the mill's workforce on partial pay supported by government tariff relief measures. Local property values have dropped, and residents fear the loss of essential services, including healthcare and retail. Ronnie Raymond, a local resident, warned that the town could become a ghost town if the mill does not reopen. He stated that the situation is scary because there is no other work for the community.

The current effort mirrors a successful buyout in 1973, when employees and managers purchased the mill from an American owner to form Tembec, a Quebec-based company. Stéphane Lefebvre, a union leader and employee whose family has worked at the mill for generations, said the group is hoping to replicate that success. He noted that the local coalition requires financial support or tariff relief from Prime Minister Mark Carney and the Quebec government to proceed.

The federal government has allocated $400 million to support the forestry sector in rural areas and launched a program to provide cash flow assistance to businesses pivoting away from US markets. A spokesperson for Industry Minister Mélanie Joly said the government is actively working with all parties to find a viable solution for the company. However, some local officials argue that the response has been insufficient compared to aid provided to the steel and auto sectors in Ontario.

RYAM stated in an email that it would not comment on a potential sale or prospective buyers. Mayor Alain Gauthier said the US tariffs act like a bomb to Canadian manufacturing. He called for Ottawa to retaliate with its own duties on US board products, which currently enter Canada tariff-free. The mill produces paperboard for frozen-food packaging and lottery tickets, with roughly 75% of its output sent to the US.

Retired engineer Frank Dottori, who helped organize the 1970s buyout, said the new generation of workers needs bold leadership to succeed. He added that lifting US tariffs is imperative for the mill's long-term economic viability. Some residents are looking to the upcoming US midterm elections to pressure the administration to ease tariffs, though recent changes to Canadian goods do not currently apply to the Témiscaming mill's products.

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