Nippon Paper to cut graphic paper capacity, strengthen tissue and packaging businesses

 The company will permanently shut down some of the machines at its Shiraoi and the Yatsushiro mills in Japan, reducing printing and writing paper capacity by nearly 300,000 tpy. This step is Nippon Paper’s response to the decline in graphic paper demand in Japan: Graphic paper deliveries in the country have dropped from 9.68 million tpy in 2018 to 6.51 million tpy in 2023, the company said.

 

Nippon Paper will shut down the fine paper machine PM 8 at the Shiraoi mill at the end of September 2025. The machine has a capacity to produce 64,000 tpy of fine paper and bleached kraft paper. The remaining facilities will be used to expand production in areas other than graphic paper, Nippon Paper said.

 

At the Yatsushiro mill, Nippon Paper will cease production of machine N2 at the end of June 2025, taking out 232,000 tpy of newsprint. At the same time, a coal-fired boiler at the site will be shut down, marking the end of coal use at the Yatsushiro mill. Newsprint and fine paper production from the discontinued machine will be transferred to other facilities, Nippon Paper said.

 

Instaed, Nippon Paper will start up the production of household paper at the Yatsushiro mill, primarily targeting exports. Production is expected to commence in 2027. Nippon Paper did not disclose the planned capacity for household paper production at the site.

 

The move is part of Nippon Paper’s strategy to expand the production of products for daily use, such as tissue and hygiene papers, liquid packaging board, nanocellulose fibres, bio-ethanol or fertilisers. The company has already commissioned new tissue capacities in Japan in 2023 and 2024.

 

 

 

 

Source:https://www.euwid-paper.com/