Sumitomo Forestry is rapidly expanding its interests in the United States market, following the acquisition of Teal Jones Louisiana Holdings (TJLH) – with the Japanese forest giant now setting its sights on its first timber industrial complex in the United States.
The acquisition, made by Sumitomo’s wholly owned subsidiary Sumitomo Forestry America, could see the giant “consider manufacturing mass timber to maximise the value of wood through the cascading utilisation of logs where nothing goes to waste,” according to a media release provided by the Tokyo-based head office.
The transaction comes after Sumitomo Forestry America announced in April that it planned to acquire Teal Jones to secure a “consistent lumber supply through sawmill operations in the southern United States.” Wood Central understands that the acquisition was formalised on July 1st, with TJLH’s key asset being Teal Jones-Plain Dealing (TJPD), a sawmill located in Plain Dealing, Louisiana, producing 300 million board feet of lumber every year. Utilising 100 hectares of land and the plant in Plain Dealings, Louisiana, TJPD manufactures dimension lumber and other materials used to build houses. Every year, the plant receives approximately 1 million cubic meters of logs and manufactures 500,000 cubic meters of dimension lumber and other materials, equivalent to about 14,000 standard US homes.
In addition to outside purchasers, TJPD plans to supply products to its group operations, including the Fully Integrated Turn-key Provider (FITP) operations and its residential property and real estate development operations. Furthermore, the company plans to use 40 hectares of unused land on the site to manufacture and sell mass timber and wood products in preparation for future increased demand.
“We are also considering processing wood chips and lumber residue generated from the manufacturing process into biomass power generation fuel, biorefineries and other,” the company said on Friday. “With the launch of a timber industrial complex in the U.S., we are seeking to maximise the value of wood through the cascading utilisation of wood.”
The plant is located in an area where Sumitomo is actively expanding its housing operations. The plant’s sales region includes Dallas, where demand for wood products in Texas is high. This region and its surrounding vicinity are home to numerous FITP-operated sites, where the design, manufacture, and processing of housing panels, trusses, and other products occur. The company plans to increase the number of plants in the U.S. from its current 10 facilities to 15 by 2027.
- To read more about Sumitomo Forestry’s 2030 vision – otherwise known as ‘Mission TREEING 2030’ click here for Wood Central’s special feature from July 2030. And to read more about the take up of mass timber across the United States, click here for Wood Central’s special feature from April 2025.
