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West Fraser to indefinitely curtail Florida sawmill, cites high costs, weak markets

West Fraser Timber  announced today that it will indefinitely curtail its Perry Sawmill in Florida later this month, saying the decision is the result of high fibre costs and softening lumber markets.

The indefinite curtailment of Perry Sawmill will impact approximately 126 employees and will reduce West Fraser’s U.S. lumber production by 100 million board feet. The Vancouver-based company expects to mitigate the impact on affected employees by providing work opportunities at other West Fraser operations.

“High fiber costs at Perry and a low-price commodity environment have impaired its ability to profitably operate. The indefinite curtailment of Perry Sawmill better aligns our production capacity with demand,” the company said in a statement.

West Fraser anticipates taking an impairment charge in the fourth quarter of 2022 associated with the indefinite curtailment.

Last year, West Fraser downsized its B.C. operations, attributing the decision to timber and transport issues.