Reduction of UPM pulp production in Finland
#1 Sept. 18, 2025 11:47:31
Reduction of UPM pulp production in Finland
Reduction of UPM pulp production in Finland may increase pressure on global prices
The decision of the Finnish timber industry group UPM to extend production shutdowns at two key plants could have a significant impact on the global pulp market, creating additional upward pressure on prices in the fourth quarter of 2025. Key decisions and their consequences UPM has announced significant changes to its production plans: • Kaukas Plant: Scheduled maintenance extended for two weeks, completed on October 11, 2025 • Pietarsaari plant: Two-week production shutdown in November 2025 • The official reason: Adaptation to market conditions and high raw material costs Global market context The decision of one of the largest European manufacturers coincided with several key trends: • Price pressure: Rising production costs in the main markets • Demand from the Asia-Pacific region: Steady import demand from Asian consumers • Competitive environment: Tougher competition for available raw materials Expected impact on the global market Analysts predict the following consequences: • Increased upward pressure on global prices in Q4 2025 • Increased competition among importers in the Asia-Pacific region • Possible revision of production plans by other major players Price dynamics in key markets Current pulp price situation (September 2025):
Company representative's comment “We strive to ensure the profitability of our business. By reducing production, we are adapting to the pulp market and high wood prices,” Petri Hakanen, Senior Vice President, UPM Fibers Finland Operations Industry implications Expected changes in the behavior of market players: • Major manufacturers: Possible revision of production strategies • Importers: Actively search for alternative sources of supply • Consumers: Increased attention to long-term contracts Tags: #UPM #cellulose #world market #cellulose prices #Finland #timber industry complex Переведено «Яндекс.Переводчиком» Offline
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