Cascades to Build Major Tissue Converting Plant on U.S. West Coast
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Cascades Inc., Kingsey Falls, Que., Canada, today (June 16, 2016) announced that it will build a new tissue converting plant in Scappoose, Ore., USA. The $64 million investment includes new state-of-the-art converting lines that are scheduled for commissioning at the end of the first quarter of 2017.
This new, modern, and automated converting plant will create 200 jobs during the construction phase and will employ 80 people once the work is finished. It will manufacture virgin and recycled bathroom tissue products and paper hand towels for the Away from Home (AfH) market. The unit will be supplied by the Cascades tissue paper mill located 12 km away in St. Helens, creating considerable synergies. Its production capacity will be close to six million cases per year, or approximately 53,000 metric tons of finished product.
"This new plant is a concrete example of Cascades increasing capacity to service customers on a national scale. This project, which is part of our strategic plan for development, will provide us with a new converting capacity that will improve our integration rate and coverage of the West Coast. The plant will be strategically located to allow us to better serve our customers and continue to grow in a region that offers potential for our company," said Mario Plourde, president and CEO of Cascades.
"This major investment consolidates our presence in Oregon and on the West Coast and allows us to take another important step toward achieving our objective of expanding into key markets in the southern and western U.S. This new plant will be equipped with some of the most modern assets in the industry, which will help us win additional market share. This investment will also allow us to increase our integration rate and to offer ever greater quality and flexibility," said Jean Jobin, president and COO of Cascades Tissue Group.
The project is made possible thanks to the incentive programs from local, regional, and state governments. Construction will begin once the municipal permit process has been completed.
Cascades Tissue Group, a division of Cascades Canada ULC, is the fourth largest tissue paper manufacturer in North America. Founded in 1964, Cascades produces, converts, and markets packaging and tissue products that are composed mainly of recycled fibers. Cascades employs 11,000 women and men, who work in close to 90 production units in North America and Europe.