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Tembec scales back

Tembec is scaling back production in an attempt to bring its inventory levels back into balance. The company announ…

Tembec is scaling back production in an attempt to bring its inventory levels back into balance. The company announced curtailments at its pulp mills in Quebec and France, which will effectively reduce output by 16,500 tons.

Tembec’s Temcell hardwood pulp mill in Temiscaming, QC ceased production on August 31, for one week. Its softwood kraft pulp facility in Tarascon, France, will be offline for two weeks as of September 10.

Sluggish demand in Europe and Asia was cited as being culpable for the decision. Vacation-related shutdowns in pulp consuming businesses and overall lower consumer demand also compounded the situation.