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 Huntsville facility. This investment will enable the company to bring a first-of-its-kind wood panel product to market, create jobs, and boost productivity, while supporting the province’s plan to help forest sector businesses adapt, compete, and grow amid global market challenges, including U.S. tariffs.
Daiken’s $70 million project will produce a new type of wood panel used in flooring, recreational vehicles, and modular housing. The initiative will support 128 existing jobs and create 10 new positions. The innovative Ontario-made product offers a higher-performance, lower-cost alternative to imported materials and will be available to domestic and international markets, enhancing the province’s reputation for sustainable and advanced wood manufacturing.
The project also strengthens the broader forest sector by creating new markets for underused wood and supporting 28 forest sector businesses in the region. The investment aligns with Ontario’s strategy to build a resilient and competitive forest industry, which contributes significantly to the provincial economy and employment.
Through the Forest Sector Investment and Innovation Program, over $72 million is being allocated to help forestry companies implement innovative technologies, improve productivity, and increase competitiveness in a global market. This investment builds on previous government initiatives, including the Sustainable Growth: Ontario’s Forest Sector Strategy and the Forest Biomass Action Plan, aimed at protecting workers and fostering sustainable growth in the sector.
Daiken North America’s Huntsville facility, part of the international Daiken Corporation based in Japan, employs 128 people and manufactures panels for Original Equipment Manufacturers as well as Canadian and U.S. distributors. The proprietary DIO woodcore panels combine the strength of oriented strand board with the smooth surface of particle board and can be manufactured in custom thicknesses as thin as 2.7 mm, offering a durable and innovative alternative to imported plywood.
The Ontario Forest Industries Association and local officials have welcomed the investment, highlighting the project’s potential to boost the regional economy, showcase local manufacturing talent, and advance sustainable practices in the forest sector. The initiative reflects Ontario’s commitment to fostering innovation, supporting good jobs, and strengthening its position as a leader in advanced wood manufacturing.
