The concept of circular economies suggests that optimal flow of goods and services can be represented as a loop. This can be manifest in a process when products are recovered after a period of use and transformed into new goods, and when the last product may be used as the basis for a new iteration of products. The concept is also present in regional geographies, where resources may flow from point to point for processing and use, and where the final leg of the process brings materials back to the starting point. A popular example of the circular economy is the carbon cycle, which sees old products serve as the basis for new growth and eventually new commercial activity. The forest economy has the potential to take the circular approach. This paper describes the current state of Canada's forest sector and identifies barriers to achieving a true circular approach. For example, Ontario is a region where massive disruptions to the existing economy have left the industry in crisis. Opportunities for reinventing the forest sector are discussed, as are the potential impacts on employment and economic returns from this approach.