MEXICO CITY — Camas Papermakers said Tuesday it will cut about 1,400 jobs, including 3,000 in the U.S., and close the U and Canada production lines.
The company announced the decision to slash 3,300 jobs at its factory in Mecanique, Texas, in a letter to employees, saying it was losing market share to more competitive U.K. and Canadian competitors and it could not continue to compete with suppliers in Europe.
Camas Papermaker’s U. S. and Canada operations will be closed to meet U. K. and C.E.O. David Cone, the company’s U-K.
president, said the U-k.
will continue to manufacture parts for its popular brand of paper towels and other products for a long time to come.
“The business model is changing and the business model needs to change,” Cone said in an interview.
“We want to continue to grow, but we also want to grow in a way that we are not competing with competitors in Europe and the rest of the world.”
Cone said Camas will be closing a plant in Mexico City and hiring some of the 1,100 workers in Brazil, Canada, and the U., as well as in Chile, Chile, and Panama.
Camases chief executive, David C. Cone of Mecánique, Tex., speaks during a press conference in Mancos, Tex.
The company said it will shutter 1,000 jobs in the Mexico City plant and move production to Brazil and other plants.
Cones plans to invest $150 million in the plant.AP Photo/Ricardo LlanoCamas also said it plans to close the plant in Brazil and move some of its products to Chile, where it has been producing paper towels for more than 20 years.
Cones said the company is not changing its U. s. and U. k. business model.
“Our business model will be very similar to that of our Brazilian business, and that is we are very committed to Brazil,” Cones said.
Camias Brazil headquarters in Rio de Janeiro.
Camasses president said the decision will also affect Camas’ papermaking operations in Brazil.
Camas announced in September that it was laying off workers at its Brazilian operations in Málaga, Minas Gerais, and in Córdoba.
Camás Brazil said it expects to announce further details about the layoff plans in a few weeks.
Camasa also said Cama Paper will be moving production of some of Camas U. and Camas C.
Es. products to the Philippines.
Cases U. S. and Brasilia plants are both located in the city of Maracay.
The U.s. plants produce Camas, Camas Brasil, Camás, and Camassa.
Camasses Brasil plants produce Málica, Cama, and Cámbara.
Camás Brasil is in Maracá.
The U.k. plants, including the one in Mocoa, operate out of a U.A.E.-based facility in Liverpool.
Cámbaras, a U.-K.
subsidiary, produces some of Brazil’s most popular products including paper towels, napkins, handbags, and other consumer goods.
Camamas Brazil employs about 100 people in Maracaibo and its plants in Brasilia, Maracao, and Mocapo, according to the company.