Södra Timber will be limiting production at two sawmills for one week this autumn and at a number of sawmills over the Christmas and New Year break.
"Demand for timber products has fallen, and we have profitability problems. Production capacity must be adapted to fit in with this reduced demand so that we can create the conditions for a price level which will improve our margins," said Peter Nilsson, CEO of Södra Timber.
Södra Timber has decided to shut down production at Långasjö and Ramkvilla in week 44. Kinda, Unnefors, Ramkvilla, Orrefors, Torsås and Långasjö will also be stopping production between 23 December and 9 January. It is estimated that this will reduce production by a total of around 40,000 cubic metres of product. Staff will be offered holiday during these periods.
"These measures will allow us to start the year with balanced stocks, something we must have if we are to see a better market for timber products," said Peter Nilsson.