Pixelle Specialty Solutions LLC recently announced it will close a mill in Jay, Maine, in the first quarter of 2023.
About 230 people will be affected by the closure, the company says in a news release.
Pixelle, which is based in Spring Grove, Pennsylvania, produces specialty label and release papers as well as industrial and packaging solutions for e-commerce and food service. Its two paper machines have a capacity of 230,000 tons annually.
“Economic forces beyond our control have combined to make profitable operations at the mill unsustainable,” said Timothy R. Hess, president and CEO of Pixelle, in a statement.
The company says the mill has endured significant business and financial challenges compounded by the April 2020 rupture of one of its pulp digesters and catastrophic damage impacting the continued operability of the entire pulp mill.
The company also says it intends to work with its customers where possible to transition their products to other Pixelle mills or to plan for the volume of orders in the limited production leading up to mill closure.