Packaging Corporation of America Shuts Wallula Mill Paper Machine and Kraft Pulping Facilities
Packaging Corporation of America (PCA) will permanently shut down the No. 2 paper machine and kraft pulping facilities at its Wallula, Washington mill, reducing annual production capacity by 250,000 tons. The restructuring, to be completed by Q1 2026, will result in 200 job cuts and $205 million in pre-tax restructuring charges. PCA will continue operating the No. 3 paper machine and recycled pulping facilities, producing 285,000 tons of recycled linerboard and corrugating medium.
Packaging Corporation of America (PCA) has announced a major reorganization at its Wallula, Washington containerboard mill. The company will permanently shut down the No. 2 paper machine and kraft pulping facilities, while continuing operations of the No. 3 paper machine and recycled pulping facilities. This move will reduce the mill’s annual production capacity by 250,000 tons, leaving it able to produce 285,000 tons of high-performance recycled linerboard and corrugating medium. The restructuring is expected to be completed by the end of the first quarter of 2026 and will result in approximately 200 job reductions. PCA expects to record pre-tax restructuring charges of around $205 million, with the majority recognized in late 2025 and early 2026. The company emphasized its commitment to supporting affected employees and maintaining sufficient production capacity to meet customer needs through ongoing and future investments at other facilities. Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Packaging Corporation of America published the original content used to generate this news brief via Business Wire (Ref. ID: 20251203085406) on December 03, 2025, and is solely responsible for the information contained therein. © Copyright 2025 - Public Technologies (PUBT)
