Pyramid, Roseburg shutdowns lead to ripple effects.

Article Summary –

Missoula County’s two biggest wood product manufacturers, Pyramid Mountain Lumber and Roseburg Forest Products, are shutting down, impacting employment and local economies. The closures will affect not only the 250 employees of the two firms but also approximately another hundred indirectly connected jobs, such as log truck drivers. The shutdowns will also make forest management more costly and challenging, reduce the revenue other mills can get from wood residue, and increase the logistics cost for sourcing ponderosa pine, a tree species common in Montana forests but less favored by the wood industry.


Missoula Sawmill and Particleboard Plant Closures Impact Montana’s Wood Products Industry

The forthcoming shutdowns of Missoula County’s principal wood product businesses will ripple beyond the local economy, increasing costs of forest management and impacting landowners and other mills in the area, say industry officials.

The effect extends beyond the job losses at these facilities. It will impact the landscape, forests, communities within and around the forest and their economies, says Todd Morgan, director of the University of Montana’s Forest Industry Research Program.

Seeley Lake sawmill Pyramid Mountain Lumber, employing about 100 people, announced its closure this year due to labor shortages, lack of housing, surging costs, dropping lumber prices, and the high cost of living in Western Montana (source).

Roseburg Forest Products will also close its Missoula particleboard plant, affecting roughly 150 employees as it shifts away from particleboard manufacturing (source). The closures will impact not only the 250 employees but also around 100 jobs indirectly linked to the facilities, such as log truck drivers.

The wood product industry in the Western United States has faced log supply challenges for years. Economic trends like higher interest rates, slower home construction reducing lumber demand, and falling lumber prices have further strained the industry.

Roseburg cited the struggle to compete with modern plants with its ageing manufacturing platform as the primary reason for closure. Similarly, Pyramid Mountain Lumber, the last remaining sawmill in Missoula County, is struggling to keep up with rising costs.

Seeley Lake’s limited sewer infrastructure exacerbates housing challenges, hindering new home construction for mill workers. This problem isn’t confined to Pyramid, it’s a town-wide issue, says Todd Johnson, president of Pyramid.

The closures will affect the tax base that supports Missoula County property tax collections. Maintaining high-quality services with decreased revenue is a significant concern, particularly in a state like Montana, where local government heavily relies on property taxes.

Beyond immediate community impacts, these closures will also affect downstream customers relying on the sawmill and plant’s products. Roseburg’s closure will impact trucking and other industries supplying it with goods and services.

Pyramid’s expected permanent closure will make forest management more challenging due to its significant usage of ponderosa pine, a common species in Montana forests but less preferred by the wood product industry.

Challenges associated with climate change, such as drier summers, shorter winters, wildfires, and disturbances like beetles and drought, are increasing just as Montana’s timber industry is declining. The permanent closure of Pyramid will affect residents throughout the region dealing with wildfires and related challenges. Despite these difficulties, there is optimism that someone will recognize the value of these facilities and seize the opportunity.


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