Cascades Inc. has announced the discontinuation of its activities in the honeycomb paperboard and partition packaging product sectors. As a result, its three plants located in York, Pennsylvania, and Saint-Césaire and Berthierville, Quebec, will be closed.

“Cascades is committed to optimizing its operating platform and business activities by focusing on its strategic markets as a partner of choice for its customers. The plants being closed specialize in niche markets that are no longer aligned with the company's long-term growth plans,” the company said in a statement.

The closure of the Berthierville honeycomb packaging plant is effective immediately, impacting 52 employees. The company Emballages LM, located in Saint François de la Rivière du Sud, Quebec, will acquire certain assets for approximately $9 million. Emballages LM is a major North American producer of honeycomb paperboard that aims to ensure a smooth transition with customers and maintain service quality.

The York, Pennsylvania, facility will be closed permanently by no later than February 19, 2026. This plant specializes in the manufacturing of honeycomb packaging products, for which declining regional customer demand no longer ensured profitability. Cascades says 37 employees will be impacted by this closure.

The Saint-Césaire facility specializes in the manufacturing of cardboard partitions for the beverage market. The plant's profitability has been negatively impacted over several years due to a continuous decrease in market demand. The plant's geographic distance from its main customers has also reduced its competitiveness. As a result, operations will cease no later than April 17, 2026, impacting 25 employees.

Cascades says it will work closely with the employees of these three plants to provide the support needed throughout this transition. Job search assistance resources will be offered by the company to those who require them. Cascades also encourages employees that are impacted by these decisions to apply for positions at its other facilities.

"Focusing Cascades' assets on its strategic markets is essential to achieving our optimization and profitability improvement objectives,” said Hugues Simon, President and Chief Executive Officer of Cascades. “The markets served by these plants no longer align with the business strategy of our Packaging sector. This refocusing will allow us to invest in strengthening our position as a partner of choice for customers in our priority sectors." 

These announcements do not affect the activities of the Cascades Sonoco – Berthierville plant, located adjacent to the Berthierville plant.