ORANGE, Texas — International Paper announced Wednesday that its containerboard mill near Orange will be closing.
The plant in Orange County will be permanently closed along with two other facilities in North Carolina and Florida according to a news release from International Paper.
The mill, which is just east of Texas Highway 87 about seven miles north of Orange, will cease production by the end of the year.
About 900 jobs will be affected across all three of the facilities that are closing according to the company. The company did not make it clear exactly how many jobs in Orange County will be eliminated.
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The company plans to try to transfer some employees to other roles, use current vacancies, retirements and normal attrition to "minimize the impact on employees."
A lumber truck driver, Don Lane, said he has been hauling lumber for the paper mill for decades.
"Those paper mills been closing down all over the country," he said.
Lane went to drop off lumber today and was told about the closure.
"I hate to see a place that's not demanding anymore, because the supply is abundant and it won't be nowhere to carry it. Somebody else will have to buy it."
Orange County Mayor, Larry Spears, said this will have a trickle-down effect on the local economy.
"Horrific for us to hear because it's detrimental to our community, and to have that amount of loss of jobs from the people that we live by. "Detrimental because we don't ever want someone to feel ostracized, or alone. You know having to find a way to feed your family, or to pay their house note. So, how does that effect us? That effects us by them not being able to purchase things or be out there and a part of society. In the manner in which they were before," he said.
The Orange Chamber of Commerce says they've been in contact with management at International paper.
President and CEO of Orange Chamber of Commerce, Ida Schossow, said they are working together with Work Force Solutions to help people find new jobs.
"There's not really a bright spot in a business closing but there are some jobs in the golden triangle. In our area right now. So hopefully that will be maybe east of mind of some of those employees. That will be out looking for jobs," she said.
The closures will "further strengthen and optimize its manufacturing system to meet customers' needs," according to the release.
"Decisions like these are extremely difficult, because of the impact on our employees, their families and the communities in which we operate," Chairman and CEO Mark Sutton was quoted as saying in the release.
"We are grateful to our employees in Orange, Riegelwood and Pensacola for their significant contributions to the company over the years. We are committed to providing severance benefits, outplacement assistance and more to help employees during this time."
The closure of the mill in Orange County will reduce the company's containerboard capacity by about 800,000 tons the release said,
Containerboard is used to make corrugated boxes and packing materials.
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This is a developing story. We will update with more if and when we receive more confirmed information.