Domtar will indefinitely idle operations at its Coosa Pines, Alabama, fluff pulp mill in May 2026.
The Coosa Pines mill has been challenged by difficult market conditions, as well as its aged assets, resulting in high costs of maintaining and operating the facility, underscoring the need for this strategic decision. The company is taking steps to ensure a safe and orderly wind-down of production and is committed to supporting employees, their families, and the Coosa Pines community through career transition resources, benefits guidance, and open communications during this period.
The Coosa Pines decision follows a series of facility closures and curtailments across Domtar’s North American network over the past six months, driven by fluctuating demand for traditional paper products, high operating costs, and fiber supply constraints.
Summary of Recent Network Adjustments
• Ignace, Ontario (March 2026): Domtar idled its Ignace sawmill indefinitely on March 12, 2026. The closure, affecting 25 jobs directly and reducing lumber production by 150 million board feet, was attributed to low North American demand and significant trade challenges, including a 35% countervailing duty.
• Crofton, British Columbia (January 2026): After extending an initial December deadline to support employees through the holiday season, Domtar permanently closed the Crofton pulp mill in early 2026. The closure eliminated 350 jobs, with the company citing a lack of access to affordable wood fiber in B.C. and sustained poor pricing for pulp.
• Glenwood, Arkansas (October 2025 – March 2026): In a positive turn for the region, Domtar announced the restart of its Glenwood sawmill effective March 31, 2026. The facility had been idled since October 2025 due to weak lumber demand but is now ramping up production to meet shifting market needs.
• Grenada, Mississippi (September 2025): The Grenada paper mill was indefinitely idled in mid-September 2025, affecting over 150 workers. The decision was driven by the long-term decline in demand for newsprint.
• Maniwaki, Quebec (October 2025): Operations at the Maniwaki sawmill were suspended in October 2025, citing challenging market conditions and rising U.S. softwood lumber tariffs.
