Arauco permanently closes another MDF plant in the U.S.

Composite panel and forest product giant Arauco will close its medium density fiberboard (MDF) production facility in Bennettsville, South Carolina on May 18, reported Woodworking Network.

The Bennettsville mill has already stopped operating due to current market conditions brought about by the COVID-19 pandemic. According to Woodworking Network, the company said the decision to close the facility was made after a broader assessment that compared to the company’s other more advanced MDF platforms,  the Bennettsville plant’s older manufacturing platform is no longer competitive in the prevailing MDF market.

“The decision to close this mill was a difficult one,” said Pablo Franzini, president of ARAUCO North America. “We are working diligently to provide options for affected employees to help them through a difficult transition. We are committed to meet all of our customers’ needs from our other facilities.”

Arauco is a global manufacturer of forest products, including composite panels, premium plywood, millwork, lumber and wood pulp. In February, it announced it would close another MDF production facility in Eugene, Oregon, on May 1.