BRITISH COLUMBIA - Canadian lumber giant West Fraser will curtail production at three of its British Columbia sawmills for three weeks.
This is the second time the company has made the decision to decrease production. Over the holidays, a decision was made to curtail production at four of its sawmills.
West Fraser says price declines in lumber markets, high log costs, and log supply constraints forced its hand. Total curtailed production will be reduced by an estimated 50 million board feet.
West Fraser has seen tough times as of late. The holiday shutdown followed soon after the company permanently shut down around 300 million board feet of lumber production at two of its mills for 2019, negatively impacting nearly 140 workers.
West Fraser isn't alone in this decision among British Columbia lumber manufacturers. Canfor at first curtailed lumber production in BC for the fourth quarter of 2018. Then they extended the curtailment through 2019's first quarter.
Conifex Timber also shut down production at one of its BC sawmills for two weeks.
Both Canfor and Conifex cited high log costs, log supply constraints, falling lumber prices, and U.S. import tariffs as factors.
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