Corner Brook mill shutting down for a week, Kruger says, affecting 300 employees

The Corner Brook Pulp and Paper mill is shutting down operations for seven days starting Monday, according to its parent company, Kruger Inc.

It's a move that will affect approximately 300 employees at the mill, the last newsprint mill in Newfoundland and Labrador. 

In a press release issued Wednesday morning, the company cited "the difficult business environment in the newsprint sector" as the reason.

"The company may carry out additional production shutdowns in the coming weeks," reads the release. "The duration of these interruptions will depend on the evolution of the newsprint market."

The company said it will use the first shutdown to conduct an annual inspection and repair work on the mill's main boiler. Kruger declined an interview request from CBC News.

The mill went through a similar shutdown in 2019, when it closed for two weeks at Christmas due to a weak market for the product. It also cut 22 permanent positions as a cost-savings measure.

The Corner Brook newsprint mill was built in the early 1920s and began producing paper in 1925. Kruger bought the operation from the Bowater Corporation in 1984.

Newfoundland and Labrador Forestry Minister Elvis Loveless said Wednesday morning he didn't have much information about the shutdown, but said he expects the province will be "in talks" with Kruger soon.

"It's a challenge. We know the industry is changing," he said. 

"We know the forestry industry has changed from a newspaper perspective. Corner Brook Pulp and Paper has faced many challenges, and we look forward to working with them on this challenge to hopefully see tomorrow be a better day."

At the House of Assembly on Wednesday, PC Leader Tony Wakeham asked Premier Andrew Furey if he had spoken with Kruger.

Furey, who called the shutdown concerning, said he hadn't spoken with the company or its owner "just yet."

"We certainly value that asset, Mr. Speaker, and more importantly the hard-working women and men who work in that facility and those who support it in the forestry industry," he said during question period. 

"I can guarantee you this government will be there for them."

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