Tolko Reduces Shifts At Two Facilities

Tolko Industries will reduce production by 50 per cent at its Soda Creek and Armstrong Lumber operations by moving from two shifts to single shifts. The temporary change at Armstrong, BC-based Armstrong Lumber is in effect, while the implementation date for the Williams Lake, BC-based Soda Creek facility has yet to be determined. A potential for approximately 100 million board feet of lumber will be removed from annual production at each location. Tolko expects that the reduced shift will be permanent at Soda Creek, while the single-shift approach at Armstrong Lumber will be evaluated on a regular basis going forward to determine if any changes are required. “A lack of available economic fibre in the province, high log costs, and weak markets are impacting our ability to be fully operational,” says Troy Connolly, vice-president of solid wood. “While our goal is to ensure consistency and stability for all of our operations, the steep decline in lumber demand and upward cost pressures in the province make the decision necessary.”