Capacity changes in corrugated base papers: Investment boom is over, projects under scrutiny

The chances of retreating from the declining market for graphic and press papers and of returning to a successful path in corrugated base papers by means of machine conversions have worsened for paper manufacturers. The market has been dominated by oversupply since last autumn.

In the wake of the weak economy and the rampant reluctance to consume, demand for corrugated board has recently fallen sharply - in some cases double-digit sales losses are being reported - which has had a direct impact on the consumption of corrugated base paper. Production cuts have been made everywhere in order to keep stocks under control to some extent.

Against this background, a number of projects to expand the range of corrugated base papers were abandoned or postponed.