Tembec is implementing production curtailments totalling 35,000 tonnes from its three high-yield pulp mills in an e…
Tembec is implementing production curtailments totalling 35,000 tonnes from its three high-yield pulp mills in an effort to balance inventory levels.
The company’s Temcell facility in Temiscaming, QC, will absorb the largest production cut, with 16,500 tonnes being removed between October 11 and November 9. Tembec’s Chetwynd, BC mill will close on October 19 and reopen on the 27th, a shutdown that will effectively remove 4,000 tonnes from the market. The Matane, QC mill will be subject to two, consecutive closures, from October 19 to November 1, and then from November 23 to November 29, removing 14,500 tonnes.
The company cited weakening demand for pulp in Asia as the primary culprit driving the closures. “The shutdowns announced today will allow Tembec to manage inventories and working capital to the appropriate levels,” Yvon Pelletier, executive vice president and president of the company’s pulp group said.
Tembec additionally plans to capitalize on the downtime in order to undertake maintenance work.
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