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Tembec Indefinitely Shuts Ontario Mill (May 07, 2008)


May 7, 2008
By Pulp & Paper Canada

Tembec is indefinitely shutting down its hardwood plant in Mattawa, northern Ontario.

Tembec is indefinitely shutting down its hardwood plant in Mattawa, northern Ontario.

The facility, which employs 52 people, will close on June 30 for a minimum period of ten weeks. According to a report by The Canadian Press, spokesman Richard Fahey confirmed the company will revisit the situation in August in order to evaluate a potential restart in the fall.

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The Canadian Press further reported that higher fossil fuel prices are driving transportation, chemicals and direct energy prices upwards.

You could see the writing on the wall for a long time, The North Bay Nugget reported Fahey as saying.

Slumping housing starts in the U.S., slipping hardwood and pine flooring products prices and a robust Canadian dollar have also affected the company’s competitive position.


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