The Georgia Pacific plant in Thorold, Ont., will be idled by the end of the first quarter of 2014, a local newspaper reports. According to the St. Catharines Standard, the plant will halt production and 109 employees will be out of work.
Georgia Pacific spokesman Eric Abercrombie told the newspaper the plant will be maintained and a restart is possible if market conditions improve.
The Thorold plant makes paper used to in the production of drywall panels.
Abercrombie said market conditions and “lower costs associated with alternative paper sourcing” were factors in the decision to idle the facility.
The Standard reports that production at the Thorold plant had been reduced to one week per month in recent months.
Thorold Mayor Ted Luciani commented that the Georgia Pacific shutdown leaves only Resolute Forest Products operating in a city that once had five paper mills.