UPM Plans to Cut 1.3 Million Tonnes of Paper Capacity in Europe

“With the planned actions we would respond to the magazine paper overcapacity challenge for our own benefit. In addition, we would ensure the efficient use of our remaining capacity. However, this plan would not solve the cost challenges of the industry,” says Pesonen.

“Our aim is to improve the profitability and cost competitiveness of our magazine papers. The planned measures would immediately reduce the unit costs of UPM’s magazine papers and newsprint from the level before the acquisition of Myllykoski. In spite of the restructuring, we would be able to serve our paper customers better through our improved product portfolio and geographic scope”, says Jyrki Ovaska, President of UPM Paper Business Group.