Cross-laminated timber (CLT) company XLam NZ Ltd’s Australian owner decided last week to close its Nelson factory and to supply New Zealand from its Australian factory at Wodonga, on the southern side of the Victoria-New South Wales border.
Xlam is now wholly owned by Hyne & Son Pty Ltd (Hyne Timber), based in Maryborough, 260km up the Queensland coast from Brisbane.
Hyne Timber bought 50% of Xlam in 2015, moved to full ownership in 2016 and gave the New Zealand company the financial backing to build its second factory, at Wodonga in 2017.
Hyne Timber issued a statement last week saying the Nelson operation was no longer considered commercially sustainable and that, under the new business model, it would be more commercially competitive & sustainable.
Hyne chief executive Shane Robertson said: “The existing highly manual, capacity-constrained operation in Nelson has been confirmed to be commercially unsustainable for future CLT manufacture.”
Mr Robertson said Xlam would establish a new Waikato warehouse & distribution operation and new offices in Nelson.
The Fifth Estate
Fifth Estate Friday offcuts
Hyne Timber, 14 Feb 2019: Construction underway for Hyne Timber’s new GLT plant
30 July 2017: XLam to double cross-laminate production
Attribution: Company releases.