Domtar Closing Machines

Domtar Inc. announced that it is permanently closing three paper machines: two in St. Catharines, Ont. and one in Nekoosa, Wis. These closures will result in the reduction of 80,000 tons of paper manufacturing capacity and will affect 335 employees.

The company cited the fact that demand for the paper produced at these machines have steadily declined over the past five years. Paper machines No.2 and No.3 in St. Catharines manufacture printing and specialty papers. The mill has a capacity of 50,000 tons per year. Some of the papers manufactured in St. Catharines will be re-deployed to Domtar facilities in Espanola, Ottawa-Hull and Wisconsin, while others will be discontinued. St. Catharines will cease operations at the end of September.