December 20, 2013

Maine mill: Foreign competition reason behind layoffs

Lincoln Pulp and Paper has filed a petition for federal trade assistance to mitigate financial damage caused by imports.

The Associated Press

LINCOLN — Mill officials who blamed a boiler explosion for the need to lay off about 200 workers now say the mill also had lost an important contract.

Lincoln Pulp and Paper filed a petition for federal Trade Adjustment Assistance, a program that aims to mitigate damage caused by imports. WABI-TV reports that Sens. Susan Collins and Angus King say the mill’s largest tissue customer is moving its production needs to Indonesia.

No one was injured in the Nov. 2 explosion but it hurt the plant’s ability to create pulp used in paper products. The company said last week that the layoffs came from the paper-making and pulp-making operations, while the company’s three tissue machines remain in operation.

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