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Interfor Corp., Burnaby, B.C., will indefinitely curtail its sawmill operations in Philomath, Or. This curtailment is in response to persistent high log costs in the region and ongoing weak lumber market conditions.
Sawmill production will be curtailed immediately followed by an orderly wind-down of operations, which is expected to be completed by the end of the first quarter of 2024. The Philomath sawmill produces a mix of kiln-dried and green Hemlock and Douglas-fir dimensional lumber and timbers and has an annual capacity of 220 million board feet.
“This was a difficult decision to make, but is necessary in light of the evolving operating and market environment,” said Bruce Luxmoore, executive VP of U.S. operations. “We recognize the impact this decision will have on our employees, who have contributed so much to the business over the years.”
The company will continue to operate its three U.S. Northwest stud mills located in Molalla, Or.; Longview and Port Angeles, Wa.
In addition, Interfor announced today plans to temporarily reduce lumber production at its British Columbia operations by approximately 30 million bd. ft. in the first quarter of 2024. These curtailments are due to a combination of weak market conditions, low log inventory levels and unseasonably warm weather that continues to negatively impact log deliveries across many areas of British Columbia.
The company will continue to monitor market conditions across all of its operations and adjust its production plans accordingly.
