Vida AB to Close Two Sawmills in Southern Sweden

Canfor Corporation (TSX: CFP) announced that its 77%-owned subsidiary, Vida AB, will permanently close its sawmill operations in Urshult and Orrefors, Sweden.

“While this was a difficult decision, the closures are necessary given the ongoing imbalance between production capacity and access to fibre in southern Sweden,” said Karl-Johan Löwenadler, CEO of Vida AB. “By concentrating production in fewer more productive and efficient facilities, we will strengthen Vida’s competitiveness and better position the business for the future.”

The closures will reduce Vida’s annual lumber production capacity by approximately 265,000 cubic metres. Following the closures, Vida will operate 13 sawmills across central and southern Sweden, along with its other facilities in packaging, specialty finishing, and logistics.

Source: Canfor