CLOSURE: Major furniture brand closes Canadian plant, shifts operations to the U.S.

A Canadian furniture manufacturer that supplies major retailers across North America is shutting down its original facility and relocating to the United States.

Prepac, known for its ready-to-assemble furniture sold at retailers including Walmart, Target, Amazon, Home Depot and Lowe’s, ceased manufacturing at its Delta facility in British Columbia on March 14 and is winding down remaining operations.

According to a statement from Unifor, the union representing the plant’s workers, all employees are expected to be terminated by May 2025.

The company was founded in 1979 and was locally owned until it was sold to Toronto-based private equity firm TorQuest in 2019. It later opened a factory in North Carolina in 2021, with the union saying all production is now being moved to the U.S.

Prepac cited “an altered economic environment” as a reason for the decision. Unifor, however, has reportedly blamed the closure on tariffs imposed during the Trump administration, saying the move is a result of policies that have made Canadian production less competitive.

“Prepac and its equity owners are using tariffs as an excuse to redirect all their production to the U.S.,” Unifor National President Lana Payne said in a statement. “It’s pure greed.”

The company has not publicly stated whether tariffs played a role in the decision.

Roughly 170 workers are expected to lose their jobs. Unifor said it is calling for a nationwide boycott of Prepac products, accusing the company of abandoning Canadian workers and consumers.

The closure adds to a growing list of setbacks in the furniture industry over the past year. According to public filings and company statements, several retailers—including Conn’s HomePlus, Factory Mattress, and Metro Mattress—have filed for bankruptcy or shut down stores amid declining sales and operational challenges.