“We can see in the third quarter that the market balance for newsprint has improved, due to the decrease of capacity in Europe*” says Nils Ringborg, Senior Vice President Marketing and Sales of Holmen Paper.
“With this new balance the prices have been adjusted during the summer and we expect further increases in the fourth quarter, and in 2014, as a result of announced capacity shut downs really taking place” Ringborg concludes.
“Holmen Papers’ focus is to continue the successful transition to our MF magazine papers; Holmen VIEW, Holmen TRND and Holmen XLNT. Papers that give important cost savings with very good print result and paper haptics that fascinates readers.
The first half of 2013 has been characterized by capacity closure announcements, mainly in Newsprint but also Magazine Paper grades. In total almost 2 million tonnes of capacity has been or will be closed during the year. Within the Newsprint segment, there will be a better balance between demand and supply.
- The European Newsprint demand decreased by 6% in H1 compared to the same six months 2012.
- The European demand for SC paper has decreased by 4% compared to H1 2012.
Coated Mechanical Paper
- Coated Mechanical Paper demand declined by 8% in H1 compared to H1 2012.
Uncoated Mechanical (Improved & Others)
- The European demand for Uncoated Mechanical paper increased by 4% in H1 compared to the same six months 2012.
*Announced capacity shutdowns
Stracel (PM 1), France, 280,000 t LWC, virgin fiber based (13-01-04)
PM 3 Rauma, Finland, 255,000 t SC-A, virgin fiber based (H1 2013)
PM 4 Ettringen, Germany, 200,000 t SC-B, recycled fiber based (H1 2013)
Mantova (PM 1), Italy, 165,000 t Newsprint (Standard and Coloured), recycled fiber based (13-02-09)
PM 1 Hylte, Sweden, 180,000 t Newsprint (12-12-27)
PM 2 Hylte, Sweden, 205,000 t Newsprint (Q2 2013)
PM 11 Kvarnsveden, Sweden, 170,000 Newsprint and 100,000 Imp News (Q2 2013)
PM 3 Hallsta, Sweden, 140,000 t SC-A (H2 2013)
PM 51 Braviken, Sweden, 200,000 t Newsprint (Q3 2013)