{"id":89207,"date":"2025-08-23T06:50:11","date_gmt":"2025-08-23T06:50:11","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/declining-demand-and-high-costs-lead-to-sawmill-closure-in-new-zealand\/"},"modified":"2025-09-19T09:04:54","modified_gmt":"2025-09-19T09:04:54","slug":"declining-demand-and-high-costs-lead-to-sawmill-closure-in-new-zealand","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/declining-demand-and-high-costs-lead-to-sawmill-closure-in-new-zealand\/","title":{"rendered":"Declining demand and high costs lead to sawmill closure in New Zealand"},"content":{"rendered":"

<\/span>Carter Holt Harvey plans to close its Eves Valley sawmill, the largest on New Zealand\u2019s South Island, citing falling demand, rising costs, and global trade pressures. The move, now under public consultation, would end operations at the site near Nelson and shift production to the company\u2019s Kawerau mill in the Bay of Plenty. About 142 jobs are at risk.<\/p>\n

The Eves Valley mill, operating since the 1980s, processes around 250,000 tons of timber annually for the South Island framing market. Its closure would affect local forestry contractors, transport companies, and surrounding communities including Brightwater, Wakefield, and Richmond.<\/p>\n

Industry data show a sharp decline in building activity. Annual building consents have dropped from 51,000 in 2022 to 34,000 in the year to June 2025. Rising electricity, insurance, and compliance costs have added pressure, while tariffs and geopolitical tensions continue to disrupt exports.<\/p>\n

Local officials said the closure reflects company strategy rather than mill performance. Nelson Mayor Nick Smith noted Carter Holt Harvey\u2019s focus on Kawerau, which benefits from proximity to the Kaingaroa Forest and geothermal energy. Government support appears unlikely.<\/p>\n

The announcement comes as recent floods damaged between 3,500 and 6,000 hectares of timber in the South Island, material that could have been processed at Eves Valley.<\/p>\n

Political reaction has highlighted the wider slowdown in New Zealand\u2019s timber and construction sectors. Since December 2023, more than 18,000 jobs have been lost in construction and over 11,000 in manufacturing. Calls are growing for stronger investment in domestic wood processing to meet infrastructure and housing needs.<\/p>","protected":false},"excerpt":{"rendered":"

Carter Holt Harvey plans to close its Eves Valley sawmill, the largest on New Zealand\u2019s South Island, citing falling demand, rising costs, and global trade pressures. 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