Photo From left, MPP for Parry Sound-Muskoka Graydon Smith, Associate Minister of Forestry and Forest Products Kevin Holland, CEO of Daiken Tiger Yoshiura, Minister of Economic Development, Job Creation and Trade Vic Fedeli, and Huntsville Mayor Nancy Alcock pause for a photo at the funding announcement in Huntsville. (Tamara de la Vega)
The Ontario government is investing $10 million through the Forest Sector Investment and Innovation Program to help Daiken North America upgrade its laminated board production line at its manufacturing facility in Huntsville.
This investment will help the company bring a first-of-its-kind wood panel product to market, create jobs, and boost productivity. As part of its plan to protect Ontario, the government says it is making strategic investments to help forest sector businesses adapt, compete, and grow to stay resilient in the face of U.S. tariffs.
“Our government’s investment in Daiken marks another chapter for our province’s innovative forest sector,” said Kevin Holland, Associate Minister of Forestry and Forest Products. “We are building new partnerships to bring global opportunities to Ontario, protect local jobs and equip our forest sector to adapt, compete and thrive.”
The funding announcement will form part of Daiken’s $70 million project, which will enable the manufacture of a new type of wood panel used in flooring, recreational vehicles, and modular housing, while supporting 128 existing jobs and creating 10 new jobs. This made-in-Ontario forest product is the first of its kind in the world, offering a higher-performance, lower-cost alternative to imported material. It will be made available to domestic and international markets, enhancing Ontario’s reputation as a world-recognized manufacturer of innovative and sustainably-sourced wood products, said the Ministry.
Supporting Daiken’s project will also help build a stronger forest sector by providing a new market for underused wood and supporting 28 forest sector businesses throughout the region.
“Ontario’s forestry sector is a key pillar of our economy, supporting over 100,000 jobs across the province,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “Through the Forest Sector Investment and Innovation Program, our government is ensuring companies like Daiken can scale their operations, which will not only strengthen our domestic manufacturing supply chains but expand the reach of Ontario-made products to new markets, increasing the sector’s resilience and competitiveness.”
Today’s investment announcement builds on the government’s work to protect Ontario forest sector workers and businesses through strategic investments and actions in the Sustainable Growth: Ontario’s Forest Sector Strategy and the Forest Biomass Action Plan.
Under the Forest Sector Investment and Innovation Program, over $72 million will be invested to help Ontario forestry companies develop and implement innovative technologies, improve productivity and enhance their competitiveness by creating new opportunities in an increasingly competitive global market.
“Back in 2017-2018, our parent company Daiken (Japan) developed a new fiberboard product, as a replacement of imported hardwood plywood. The brand name of this proprietary new product is DIO woodcore. Through global market research, we found the biggest potential market in North America and located our operations in Huntsville. Thanks to millions of supports from provincial, federal, and municipal governments, our $70M project is ongoing toward the commercial production next Spring. DIO officially stands for Durable, Innovative, Original. But I would like to share today’s delight moment with Daiken (parent company), Itochu (ground parent company) and Ontario. We hope DIO will bolster the local economy and have Town of Huntsville famous as an innovative plant in the forest industry,” stated Tiger Yoshiura, CEO of Daiken.
“Parry Sound–Muskoka is home to some of the most innovative and forward-thinking forestry companies in the country, employing thousands of residents directly and indirectly. I’m proud that Daiken has chosen our region for this critical investment, and I’m thrilled that our government is there to provide support when it’s needed most. We are proud to stand shoulder to shoulder with the forestry sector in Parry Sound–Muskoka, recognizing its vital role in driving our local economy and strengthening our communities. Our government remains committed to fostering sustainable growth, creating good jobs, and securing a prosperous future for this essential industry,” stated Parry Sound-Muskoka MPP, Graydon Smith.
“Huntsville is proud to be home to innovators, like Daiken, who are showcasing the strength of our forest sector and the talent of our local manufacturers, while having the vision to compete in both domestic and international markets. It is a shining example of how Ontario-made ingenuity can support our local economy while advancing sustainable practices,” stated Mayor of Huntsville Nancy Alcock.
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