International Paper to Close Pulp and Paper Mills in Georgia

International Paper mill in Savannah, Georgia

News Summary

International Paper has announced the closure of two pulp and paper mills, resulting in over 1,100 job losses in Savannah and Riceboro, Georgia. The closures will impact local businesses and the timber industry, which is already struggling. Efforts are being made to support the displaced workforce through job fairs and a dedicated website. The decision is part of an optimization plan, raising concerns about further economic ramifications in the region. Discussions are ongoing to find alternative uses for tree pulp and adapt to shifts in the industry.

Savannah, Georgia – International Paper has announced the closure of two pulp and paper mills, one located in Savannah and the other in Riceboro, which will take effect at the end of this month. This decision will result in over 1,100 job losses, significantly impacting the local workforce and economy.

State Commissioner of Agriculture Tyler Harper highlighted that the closures will have repercussions beyond the employees of the mills. The shutdown is expected to affect various local businesses, including tire shops, truck dealerships, and restaurants that rely on the economic activity generated by the mills. The closures will primarily hit Georgia’s already struggling timber industry, which has faced challenges following the devastation from Hurricane Helene, alongside decreasing demand due to foreign competition and technological advancements.

The announcement comes as a surprise to state officials, who view it as a disservice to the industry and communities involved. The closures will reduce the number of active paper mills in Georgia from 11 to 8, a substantial decline from the peak of 18 mills operating in the state in 1977. According to Devon Dartnell, forest utilization chief for the Georgia Forestry Commission, these closures will eradicate a market for 4.5 million tons of Georgia-grown timber. Furthermore, approximately 70 logging crews that operate in the state may see a decrease in activity due to the loss of demand.

In response to the impending job losses, local officials in Savannah and Riceboro are implementing measures to support the displaced workforce, including organizing job fairs aimed at connecting affected workers with new employment opportunities. Additionally, the Georgia Association of Manufacturing is launching a dedicated website to facilitate the process of finding new job placements for those affected.

The closures align with International Paper’s broader corporate strategy known as the “80/20” optimization plan that is focused on significant cost reduction and restructuring within the organization. Prior to this closure, Georgia-Pacific also halted operations at its containerboard mill in Cedar Springs, leading to the loss of over 500 jobs. This collective wave of closures among North American containerboard producers has already reduced production capacity by approximately 3.9 million tons in 2025.

Economists have raised concerns that the shutdown of these mills may cause further economic ramifications in southeast Georgia, potentially affecting numerous positions and the viability of small businesses in the region. Experts speculate that it may take up to three years for the mills to resume operations under new ownership, should a viable buyer be found. As a result, state lawmakers are organizing hearings to evaluate the situation and propose potential solutions to assist the timber industry and communities impacted by the closures.

Additionally, there are ongoing discussions within the Georgia Forest Association as they explore alternative uses for tree pulp. The goal is to create new opportunities for the timber industry in light of the economic transitions caused by these closures. Furthermore, with growing demand for wood pellets in Europe for energy production, shifting towards biomass conversion is being considered to adapt to the changing industry landscape.

The implications of International Paper’s decision extend far beyond the immediate job losses, touching upon the livelihoods of many individuals and the overall economy of the region. The developments will continue to unfold, and efforts are being made to mitigate the impacts on the local communities and workforce.

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STAFF HERE AUGUSTA WRITER
Author: STAFF HERE AUGUSTA WRITER

AUGUSTA STAFF WRITER The AUGUSTA STAFF WRITER represents the experienced team at HEREAugusta.com, your go-to source for actionable local news and information in Augusta, Richmond County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Arts in the Heart Festival, Westobou Festival, and Masters Week. Our coverage extends to key organizations like the Augusta Metro Chamber of Commerce and Greater Augusta Arts Council, plus leading businesses in manufacturing and healthcare that power the local economy such as Textron Specialized Vehicles, Cardinal Health, and Nutrien. As part of the broader HERE network, including HEREAtlanta.com and HERESavannah.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.

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