Ainsworth is to temporarily curtail production at its Bemidji OSB in Minnesota.

The mill, which has a production capacity of 350 million ft2 will reduce output today (October 6), with Ainsworth to review the situation at the end of the month. It said reduced customer demand and log shortages were to blame.

“Business demand continues to reflect the severe decline in US housing starts and the credit market issues,” said chief executive officer Robert Allen.

“Our outlook is that these very difficult conditions will continue for at least the near-term.

Ainsworth recently announced the permanent closure of its Grand Rapids OSB mill, also in Minnesota, which has not been operational since September 2006.