As Jay mill comes down for engineered wood plant, tariffs on imports an unknown factor

John Godfrey, owner of Godfrey Wood Products, has received permits to build the facility at the former site of the Androscoggin Mill on Riley Road but is concerned about what tariffs will do to the cost.

JAY — Demolition on a section of the former Androscoggin Paper mill was continuing Thursday to clear the way for a mulitmillion-dollar engineered wood manufacturing facility at 300 Riley Road.

“We have received all of our permits,” John Godfrey of Godfrey Wood Products said Thursday.

The only issue worth mentioning, he said, is how the tariffs by President Donald Trump on foreign products will affect the cost of equipment and building the facility.

A large amount of equipment comes from the European Union, mostly Germany and Italy, he said.

Many of the products needed are not made in the U.S. including, principally, steel and electronics, which come from China.

It could increase the cost of building the facility significantly, Godfrey said.

A budget was drawn up last year factoring in equipment costs and how much it would cost to build the 617,000 square-foot plant. Now there is the uncertainty about the overall capital cost of the project, he said.

An excavator tears down a section of the former Androscoggin Paper mill Thursday morning at 300 Riley Road in Jay, where Godfrey Wood Products plans to build a multimillion-dollar plant to manufacture engineered wood. Owner John Godfrey said Thursday that President Trump’s tariffs could increase costs for materials and equipment from Canada, Germany, Italy and China significantly. Visit sunjournal.com to watch a short flyover of the mill. *Russ Dillingham/Sun Journal*

In December, Godfrey said that if all the permits are received, which were earlier in the year, demolition on the section of the mill would start this spring.

He is hoping to get construction started this fall before snow arrives.

“Oriented strand board is a versatile, structural wood panel, created to equal or improve upon the characteristics of exterior grade plywood. OSB panels are composed of thousands of rectangular wood strands, oriented in three crisscrossing layers, and bonded with weather-impervious adhesive under high pressure and temperature. OSB engineered panels are dimensionally stable, according to Godfrey Forest Products website.

“This venture is set to bring innovation and job opportunities to the region,” and help revitalize the community and industry, according to Godfrey Wood Products website.

Demolition is underway Thursday morning at the former Androscoggin Paper mill at 300 Riley Road in Jay, where Godfrey Wood Products plans to build a multimillion-dollar plant to manufacture engineered wood. Owner John Godfrey said Thursday that President Trump's tariffs could increase costs for materials and equipment from Canada, Germany, Italy and China significantly. Visit sunjournal.com to watch a short flyover of the mill. Purchase this image

Godfrey and Gov. Janet Mills announced the plan to build the facility at a news conference in March 2024.

Godfrey projected then that there would be about 125 to 135 jobs brought to the area, possibly more. His initial hope was to start manufacturing at the site in 2026.

Pixelle Specialty Solutions of Pennsylvania stopped making paper products at the mill as of March 9, 2023.

Godfrey had a purchase and sales agreement last year for 67 acres, just south of the main buildings of the former paper mill, owned by JGT2 Redevelopment, which bought the mill property from Pixelle in December 2023.