Ontario Backs $107 Million Mass Timber Expansion in St. Thomas
ST. THOMAS, ON — Ontario is strengthening its manufacturing and forestry sectors with a $107 million investment by Element5, a homegrown leader in mass timber construction. The expansion of Element5’s St. Thomas facility will create 150 new jobs and double the company’s production capacity, helping meet growing demand for sustainable building materials and modular housing.
To support the expansion, the province is contributing $8 million through the Invest Ontario Fund, part of its plan to protect workers, attract investment, and build a more resilient economy rooted in Ontario’s forestry and advanced manufacturing sectors.
Today, our government proudly welcomed a $107M investment from @elementfiveco, a homegrown mass timber manufacturer in St. Thomas.
This expansion will create 150 new, good-paying jobs across the region and support the rising demand for modular building materials.
By leveraging… pic.twitter.com/hK2rtlTRlx
— Victor Fedeli (@VictorFedeli) September 17, 2025
Supporting Jobs and Sustainable Construction
“Ontario’s forestry and wood manufacturing sectors support tens of thousands of jobs across the province,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “As our government delivers on our plan to protect Ontario, Element5’s expansion will create over a hundred new jobs and bolster the province’s wood manufacturing supply chain, increasing the forestry sector’s competitiveness and unlocking new opportunities for workers, builders and homeowners.”
The new, fully automated St. Thomas facility will feature glued-laminated (glulam) and cross-laminated timber (CLT) production lines — allowing Element5 to increase the domestic supply of sustainable, low-carbon building materials used in modular and prefabricated housing.
Driving Innovation and Economic Growth
Element5 President Chris Latour said the expansion marks a major step forward for Ontario’s wood manufacturing industry.
“This expansion represents a bold step forward for Element5, our partners, and the mass timber industry in Canada,” Latour said. “We are proud to provide innovative, sustainable building solutions that help address Canada’s urgent need for affordable, climate-friendly housing and infrastructure.”
The expansion also reflects the province’s broader Advanced Wood Construction Action Plan, which aims to position Ontario as a North American leader in sustainable construction by leveraging domestic forestry products and manufacturing expertise.
Provincial and Industry Support
Officials say the investment will strengthen Ontario’s position amid global trade challenges, particularly with U.S. tariffs affecting Canadian industries.
Mike Harris, Minister of Natural Resources, called the project “a boost for made-in-Ontario supply chains and forestry workers,” while Associate Minister Kevin Holland emphasized that the initiative “illustrates how Ontario’s forest product sector will help protect the province from trade uncertainty and build stronger local economies.”
Rob Flack, MPP for Elgin-Middlesex-London, noted that Element5’s choice to expand locally reinforces Ontario’s leadership in modern timber construction. “Today’s investment further bolsters Ontario’s role as a leader in advanced wood construction and will play a pivotal role in our mission to build homes faster,” he said.
A Global Partnership with Local Impact
The project also builds on Element5’s partnership with Austria-based HASSLACHER group, a global leader in engineered wood manufacturing.
“The opening of our new site in Canada marks a major milestone — for Element5 as well as for the entire HASSLACHER group,” said Christoph Kulterer, CEO and owner of the company. “Canada offers the perfect conditions: access to high-quality raw materials, a growing market, and a clear commitment to sustainability.”
Building Ontario’s Future
Element5’s expansion aligns with Ontario’s commitment to growing the province’s industrial capacity and innovation in modular construction. Through Budget 2025, Ontario has pledged $50 million over five years to support investments in advanced wood manufacturing technologies that increase productivity, output, and sustainability.
To date, Ontario has invested more than $13 million to enhance advanced wood construction capacity across the province, including research, development, and innovative forest sector projects.
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