Juken New Zealand has confirmed the closure of its Northland Mill in Kaitāia after failing to find a buyer, putting 60 jobs at risk.
The company announced in March 2026 it wanted to exit Kaitāia and placed both mills on the market. Staff were called to an early morning meeting on 24 June and told no purchaser had emerged.
Consultation on the closure will begin 8 July, with Juken to make a final decision by 16 July. If the closure proceeds, it would be the seventh timber mill to shut down in New Zealand during the current government's term.
Workers First Union organiser Marcus Coverdale said staff were shocked and disappointed by the news. "We're disappointed that no buyer has been found for Northland Mill but there's still a window for central government to step up and push for a solution," he said. About 40 of the 60 staff are union members with redundancy provisions.
Far North District Council deputy mayor Chicky Rudkin said the closure would bring more pressure and uncertainty to whānau. "It's not just about their jobs, it's certainly about whānau and communities who will rely heavily on that income," she said. The council is working with Juken and central government on the outcome.
Juken New Zealand director Yasufumi Tsuchiya said the closure proposal reflected challenging conditions including falling demand, rising costs and insufficient work. The company had made extensive efforts to find a buyer or keep the site open but identified no viable option. The company has previously pointed to shrinking export markets and high operating costs, particularly power, as reasons for exiting Kaitāia. The mill is understood to be ageing and requires costly upgrades.