Ontario Construction News staff writer
The Ontario government is providing $10 million to Daiken North America to help the company upgrade its laminated board production line and bring a new wood panel product to market.
The investment, announced Oct. 6 through the province’s Forest Sector Investment and Innovation Program, is part of a $70-million project at Daiken’s Huntsville facility. The company says the new made-in-Ontario product — a first of its kind worldwide — will be used in flooring, modular housing and recreational vehicles.
Officials say the project will support 128 existing jobs at the plant while creating 10 new positions and will also provide new markets for underused wood from 28 regional forestry businesses.
“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.”
Daiken’s proprietary wood panel, developed in Japan, combines the strength and nail-holding ability of oriented strand board with the smooth surface of particle board. The material can be manufactured in thin custom sizes and is being positioned as a lower-cost alternative to imported hardwood plywood.
The province said the investment will help strengthen supply chains, expand exports, and build resilience in the forest sector in the face of U.S. tariffs.
Vic Fedeli, Ontario’s minister of economic development, job creation and trade, said the program is designed to give forestry companies the tools to scale operations and reach new markets.
Daiken Corporation, based in Japan, employs nearly 4,000 people worldwide. Its Huntsville facility makes panels for original equipment manufacturers and distributors in Canada and the United States.
The Ontario forest sector generated $21.6 billion in 2023 and supported 128,000 direct and indirect jobs last year, according to provincial data.