Canfor Announced Permanent Capacity Reduction at Plateau Sawmill

SEATTLE (Scrap Monster): Vancouver, B.C.-based Canfor Corporation announced that approximately 150 million board feet of production capacity will be permanently reduced at its Plateau sawmill. The decision is in line with plans to resize the facility and with the availability of sustainable timber in the region. The harvest has been badly impacted on account of Mountain Pine Beetle infestation and other constraints.

The cut in production capacity will be implemented through a partial closure of the plant and elimination of one of the three production lines at the mill. The reduction will take effect at the end of the second quarter this year further to depletion of existing log inventory. The decision is likely to impact around 70 employees, who will be offered employment opportunities at its other locations.

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Simultaneously, Canfor announced investment of $14 million in the Plateau facility to boost manufacturing flexibility and efficiency of the other two production lines and position the smaller scale operation for longer term success. Upon completion of this investment and closure of one of the production lines, the Plateau sawmill facility will have an annual production capacity of 370 million board feet.

Don Kayne, President and CEO, Canfor assured that it will work towards minimizing the impacts on its employees, their families, contractors and the community.