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Tembec curtails Kapuskasing newsprint and sawmill operations

Tembec has announced a temporary curtailment of its newsprint and sawmill operations in Kapuskasing, Ont. The shutd…

Tembec has announced a temporary curtailment of its newsprint and sawmill operations in Kapuskasing, Ont. The shutdown will run from July 24 to August 10, and is directly related to the ongoing challenging market conditions for newsprint and lumber. Approximately 510 employees at all levels of the newsprint, sawmill, and forestry operations will be affected.
“Market and operating conditions remain challenging for North American newsprint and lumber producers. The recent extremely low newsprint pricing and the continuing low demand for newsprint and lumber, coupled with the related need to manage inventory levels and working capital, make this curtailment unavoidable,” said Chris Black, executive vice-president and president, paper group.
The curtailment is expected to result in lost production of 11,000 tonnes of newsprint and 3 million board feet of lumber. Tembec indicated it will continue to monitor market conditions and will adjust operating rates accordingly.
Tembec is a diversified and integrated forest products company with operations located in Canada and France.