Canfor reported the curtailment of approximately 115 million board feet of production capacity at its Canadian sawmills during the third quarter.
The Vancouver, British Columbia-based lumber production giant and forest products company said extreme wildfires in Western Canada have caused significant supply chain challenges and transportation backlog.
“The wildfires burning in Western Canada are significantly impacting the supply chain and our ability to transport product to market,” said Stephen Mackie, executive vice president of North American operations, Canfor.
Mackie said the “short-term” production curtailments will begin on July 26. The company is developing site-specific plans to minimize the impact on its employees and contractors.
Canfor also said that it is working closely with the provincial wildfire services and governments to support a safe response to the very dynamic wildfire conditions in Western Canada.
The move arrives at a time in the building industry when supply chain issues are widespread. And while lumber prices are decreasing, they remain high in comparison to a year ago.
Canfor’s primarily produces softwood lumber, in addition to pulp products, with operations in Louisiana, North Carolina, South Carolina, Georgia, Mississippi, and Arkansas along with the Vida Group in Sweden.