Western Forest Products Declares Temporary Output Curtailments

SEATTLE (Scrap Monster): Vancouver, B.C-based Western Forest Products (WFP) announced temporary production curtailments in response to market conditions due to coronavirus outbreak.

According to company press release, effective March 23, 2020, operations at British Colombia, Canada facilities will be curtailed, due to impacts of evolving COVID-19 pandemic on operating conditions. The curtailment is initially for a period of one week, which will be reviewed thereafter. A re-evaluation of the business will be carried out during this period, it said. Meantime, packaging and shipping of lumber products will continue in response to customer requirements.

ALSO READ:

Western Forest Products Declares Historic Deal with the First Nations

Western Forest Products-USW New Tentative Agreement Ratified

Also, WFP has decided to extend the ongoing production curtailments at its Cowichan Bay and Ladysmith sawmills into the second quarter of 2020, mainly on account of limited log supply and weak market demand.

The company has decided to introduce steps to minimize planned capital expenditure during the current year. Accordingly, it will incur only safety, environmental and committed capital expenditures in the near term.

The decision to curtail operations is necessary as we respond to the evolving COVID-19 situation, said Don Demens, President and Chief Executive Officer, WFP.