The global pulp and paper industry continues to undergo significant transformation, with the latest developments spanning capacity expansion, mill modernization, restructuring, mergers and acquisitions, price increases, packaging innovation, executive changes, operating trends, safety incidents and industry events.

The September 2026 Weekly Edition 4 of Pulp & Paper Chronicle identifies six broad industry themes: continued investment in production capacity and infrastructure; increasing adoption of automation and AI-based controls; restructuring and asset optimization; strategic M&A and partnerships; pricing adjustments and market rebalancing; and the development of sustainable fibre-based packaging and lower-carbon solutions.

1. 🏗️ Investments, Expansions & New Projects

Investment activity remains strong across several regions, with projects ranging from mill modernization and paper-machine upgrades to entirely new production and logistics infrastructure.

Ontario Invests C$2.5 Million in Northwestern Forestry Projects

The Ontario government is providing more than C$2.5 million through its Forest Biomass Program for three forestry-related projects in northwestern Ontario.

The largest allocation, C$2.4 million, will go to Thunder Bay Pulp and Paper to develop plans for boiler and chemical-plant upgrades. According to the provincial government, the proposed improvements could increase the mill's daily kraft production by 11% and create demand for more than 130,000 tonnes of forest biomass annually, including mill by-products and underused wood.

The project is also expected to support more than 700 direct jobs and 3,350 indirect jobs.

Additional funding includes C$92,500 for AUX Energy to develop a biomass-powered generator project in Fort Frances and C$32,650 for Weyerhaeuser to study production-line upgrades at its Kenora operation aimed at reducing costs while improving efficiency and product quality.

Voith and Sun Paper Set New Benchmark with PM 47

Voith and Sun Paper have successfully started up PM 47 at Sun Paper's Yanzhou production site in Shandong, China.

The new packaging paper machine has an 8.66-metre wire width and an annual design capacity of 700,000 tonnes. It reached a maximum operating speed of 1,400 metres per minute just 10 days after start-up.

The project moved from civil construction to first reel in only 11 months and eight days. The rapid start-up was attributed to the collaboration between Voith and Sun Paper, continuing a partnership that has lasted more than 20 years.

The project was presented as a benchmark for wide, high-speed multi-fourdrinier packaging paper machines.

Ence Invests More Than €13 Million During Pontevedra Shutdown

Ence's Pontevedra biofactory began its annual technical shutdown with approximately 1,400 additional professionals joining the regular workforce for maintenance and upgrades.

More than €13 million is being invested, with a particular focus on automation and advanced control systems based on artificial intelligence. The systems are intended to improve real-time decision-making, operational reliability, efficiency, safety and environmental performance.

The shutdown was scheduled to continue until September 25, while the additional workforce was also expected to generate activity for local businesses and the hospitality and accommodation sectors.

Nine Dragons Paper Signs Phase IV Project in Jingzhou

Nine Dragons Paper has signed the Phase IV project at its Hubei production base in Jingzhou.

The expansion in Lingang Industrial Park is planned to include 12 new toilet paper and household paper production lines, with combined annual capacity of 350,000 tonnes.

The project will also include finished-product warehouses, sewage treatment facilities and supporting infrastructure. The overall Hubei project has a planned investment of 20.5 billion yuan and covers approximately 3,994 mu of land.

Phase IV is intended to expand and upgrade the existing production base and further develop its industrial chain.

Georgia-Pacific Completes $150 Million Wauna Machine Rebuild

Georgia-Pacific's Wauna mill has completed a $150 million rebuild of Paper Machine No. 1.

A machine dedication was held on September 17 to mark completion of the investment. The company described the project as an investment in the future of the mill, its employees and the surrounding community.

The company said the rebuild was completed safely and successfully, recognizing the Wauna team and others involved in the project.

Valmet to Supply Complete Coated-Board Line in Asia

Valmet has been selected to supply a complete coated-board making line, automation and lifecycle services to a customer in Asia.

The line will manufacture premium-quality coated board and is intended to combine product quality, production efficiency and long-term performance. Start-up is scheduled for 2028.

The project brings together board-making technology, automation and lifecycle services as a single integrated delivery.

Paper Production Set to Return to Chillicothe

Paper production is expected to return to the former Chillicothe paper mill approximately one year after Pixelle Specialty Solutions closed the facility.

The new owner, U.S. Paper Mill, is preparing Paper Machine 12, known as "The Chief," for a potential restart by December. Thirteen current employees are preparing the machine, while 10 paper-production workers have already been hired and recruitment continues.

The restart will not immediately restore all jobs lost in the previous closure. The site is also becoming more diversified, with glove manufacturing already operating and Alignment Engine proposing a server data hall with circuit-board assembly.

Local leaders previously cited a study estimating that the earlier mill closure could have a $1 billion impact on Ohio's economy.

Paracel Begins Port Pile Installation for Paraguay's First Pulp Mill

Paracel, together with T&C Ingeniería de Topografías y Caminos, has begun installing the first piles for port infrastructure at Paso Horqueta in Concepción, Paraguay.

The port is a key component of the planned Industrial Development Hub and Paraguay's first pulp mill. It is intended to support future pulp exports, provide international market access and serve other industries within the development hub.

The project is described by Paracel as one of the most significant private investments in Paraguay and as an initiative with potential implications for the country's industrial and export development.

2. 🛑 Shutdowns, Closures & Curtailments

Smurfit Westrock Proposes 55 Job Cuts at Lurgan

Smurfit Westrock has begun consultations over a proposed restructuring at its Lurgan packaging plant that could result in 55 job losses, representing approximately one-third of the site's workforce, according to Unite the Union.

The company said the restructuring is part of a planned investment programme over the next 18 months intended to strengthen and modernize its operations and create a resilient and sustainable future for the business and customers.

The Lurgan facility produces corrugated packaging for food, beverage and cosmetics industries.

Unite has opposed the proposed reductions and raised concerns about their potential implications for the future of the site.

3. 🤝 M&A, Partnerships & Joint Ventures

EU Regulators Expected to Block UPM-Sappi Graphic Paper Joint Venture

European Union antitrust regulators are expected to block the proposed €1.42 billion joint venture between UPM-Kymmene and Sappi, according to Reuters sources cited in the newsletter.

The European Commission has raised competition concerns over the proposed combination of parts of the companies' graphic paper businesses. The combined operation would become the largest player in the European communication paper sector.

The Commission issued a Statement of Objections on August 26 following an in-depth investigation. Concerns include increased market power in coated mechanical and coated wood-free paper.

UPM and Sappi have argued that the transaction could generate supply stability, resilience and efficiency benefits, while the Commission has indicated that it has not been convinced those benefits would offset the competition concerns.

Butterfly Equity Agrees to Acquire Sabert

Butterfly Equity has entered into a definitive agreement to acquire Sabert Holding Corp., a global food-packaging manufacturer focused on innovative and sustainable solutions.

Financial terms were not disclosed, and the transaction is expected to close in Q4 2026, subject to customary closing conditions.

Sabert operates 13 manufacturing facilities globally, including nine in the United States, and has capabilities across plastic, paper and molded fibre packaging. The company serves foodservice distributors, supermarkets, restaurants, quick-service restaurants and food processors.

Sabert has more than 400 product patents and research, tooling and innovation capabilities supporting its portfolio.

Smurfit Westrock to Acquire CMPC's Chilean Containerboard Business

Smurfit Westrock has agreed to acquire the Chilean containerboard and corrugated business of Empresas CMPC for $420 million.

The transaction is expected to strengthen Smurfit Westrock's position in Chile and expand its regional integration capabilities across Latin America.

The acquired paper machine in Santiago produces approximately 250,000 tonnes annually. The company expects the transaction to support the integration of recycled paper into operations in Argentina, Peru and Ecuador, while kraftliner from Brazil and North America can be routed into the acquired Chilean corrugated assets.

Completion is expected during the first half of 2027, subject to customary conditions and regulatory approvals.

4. 📈 Price Changes & Market Pricing

Suzano Announces Pulp Price Increase for October

Brazilian pulp producer Suzano plans to increase pulp prices from October.

The announced increase is $50 per metric tonne in Europe and the Americas and $20 per tonne in Asia. The increase would take the company's pulp price in Europe to $1,360 per tonne.

The Asian increase follows another price rise announced earlier in September, which was the first increase in that region since April.

Suzano supplies eucalyptus pulp to global paper and tissue markets, along with fluff pulp, paper and paperboard products.

China's Paper Industry Announces New Round of Price Increases

China's paper industry is entering another round of price increases ahead of the October National Day holiday and the fourth quarter.

Major producers including Nine Dragons Paper, APP China, Zhangzhou Liansheng Pulp & Paper, Wanguo Paper Industry, Bohui Paper and Asia Pulp & Paper's Jiangsu base have announced increases of up to RMB 200 per tonne for white cardboard, coated cardboard and food-grade cardboard.

Many increases are scheduled to take effect around October 1, with some starting September 26.

Packaging paper prices are also being adjusted. Nine Dragons Paper has announced RMB 50-per-tonne increases for selected corrugated and kraft paper products across six production bases, with increases scheduled between October 6 and October 10.

5. 🚀 Products & Innovation

Mondi Helps Stiebel Eltron Simplify Water-Heater Packaging

Mondi has worked with Stiebel Eltron to streamline its corrugated packaging portfolio for instantaneous water heaters and small storage units.

Previously, approximately 150 different corrugated packaging variants were used globally. The redesign reduced the number of board grades used by more than 75%.

The project replaced four-colour printed boxes with a concept based on white digital printing on brown corrugated board.

Mondi grouped packaging formats according to product weight and transportation requirements and selected appropriate brown corrugated grades while maintaining product protection.

The result is a simpler packaging system with substantially fewer board grades and reduced procurement, production and logistics complexity.

BASF Launches Lower-Carbon Paper Coating Dispersions

BASF has launched a portfolio of paper-coating dispersions with reduced Product Carbon Footprints.

The new binders produced at BASF's Ludwigshafen Verbund site offer approximately 20% to 45% lower Product Carbon Footprints compared with corresponding conventional products.

The portfolio uses measures including lower-PCF raw materials and is designed to help customers address emissions in the Purchased Goods and Services category and work toward Scope 3.1 reduction targets.

BASF states that its product-carbon-footprint calculations follow guidance from the Together for Sustainability initiative, with TÜV Rheinland having certified the conformity of the calculation methodology with the relevant standard.

6. 👥 Leadership & Corporate Updates

Dietmar Heinisser Resigns from ANDRITZ Executive Board

Dietmar Heinisser has resigned from the ANDRITZ AG Executive Board, effective September 21, 2026, for personal reasons.

He was responsible for the Environment & Energy business area and Group Manufacturing Management.

Heinisser joined ANDRITZ in 1997 and held management positions across Austria, Germany and the United States. He played a significant role in developing and growing the company's Paper Service business and joined the Executive Board in 2023.

Until further notice, Joachim Schönbeck, President and CEO of ANDRITZ, will assume Heinisser's previous Executive Board responsibilities.

Essity CFO Fredrik Rystedt to Retire During 2027

Fredrik Rystedt, CFO and Executive Vice President of Essity, has informed the company of his intention to retire during 2027.

Rystedt has served as Essity's CFO for more than nine years. The company said the succession process will begin immediately, while Rystedt will remain in his role until a successor is appointed and the handover is completed.

Essity credited him with contributions to the company's financial strength and development during his tenure.

Iconex Names Nick Savelieff as Vice President of Operations

Iconex, an M2S Group company, has appointed Nick Savelieff, MBA, as Vice President of Operations.

Savelieff brings 25 years of operations experience, including large-scale manufacturing, supply-chain operations, multi-site leadership, process engineering, data analytics, capacity expansion and lean transformation.

His responsibilities include enterprise-wide safety, quality and integrated supply-chain functions, with an emphasis on safe, reliable and cost-efficient manufacturing and alignment of operational capabilities with market requirements.

7. ⚙️ Operations & Supply Chain

U.S. Printing-Writing Paper Shipments Decline 7%

The American Forest & Paper Association (AF&PA) reported that total U.S. printing-writing paper shipments decreased 7% in August 2026 compared with August 2025.

Inventory levels increased 1% compared with July 2026.

The latest available U.S. Census Bureau trade data showed a small year-over-year increase in printing-writing paper purchases in July.

Net imports across uncoated free sheet, coated free sheet and mechanical paper increased 26% year over year, with UFS imports up 38%, CFS up 51% and mechanical paper imports up 13%.

Packaging Paper Shipments Increase 4%

AF&PA's August 2026 Packaging Papers Monthly report showed that total packaging papers and specialty packaging shipments increased 4% compared with August 2025 and were up 5% for the first eight months of the year.

Unbleached bag and sack shipments reached a new record of nearly 119,000 short tons in August, representing an 8.4% year-to-date increase.

The bleached packaging papers operating rate was 91.1%, exceeding 90% for the third time in 2026.

August inventories were 1% higher year over year and reached their highest level in 13 months.

8. 🔥 Incidents, Safety & Environmental Events

Wrongful-Death Lawsuit Filed After Nippon Dynawave Chemical Spill

The widow of Jared Ammons, one of 11 workers killed in the May 26 chemical spill at Nippon Dynawave Packaging's pulp and paper mill in Longview, has filed a wrongful-death lawsuit against the company.

The lawsuit was filed in Cowlitz County Superior Court on behalf of Ammons' widow and their children.

According to the lawsuit, Ammons was in the electrical maintenance shop with seven other workers when a tank failed at approximately 7:09 a.m.

The tank contained white liquor, a heated and caustic chemical mixture used in papermaking and maintained at approximately 200°F. According to an August preliminary report from the U.S. Chemical Safety Board, the spill released an estimated 900,000 gallons.

Fire Reported at First Quality Tissue Plant in Anderson

Multiple fire departments responded to a fire at the First Quality Tissue manufacturing plant in Anderson.

The fire call was received at approximately 6:08 a.m., with Homeland Park Fire Department serving as the main responding agency.

No injuries were reported.

The Anderson facility manufactures paper towels and bath tissue and opened in 2022. The newsletter notes that further details about the fire were not available in the source material.

Russian Strike Destroys Snow Panda Warehouse Complex in Odesa

A Russian strike on September 22 completely destroyed the warehouse complex of Ukrainian paper-products manufacturer Snow Panda in Odesa Oblast, according to the company.

The facility had already sustained major damage during an earlier strike in July.

Snow Panda said its employees survived the latest attack. The company had not disclosed the full extent of material losses, the quantity of products stored at the facility or the potential consequences for production, logistics and supplies to retail chains.

The site had served as an important production and logistics facility for Snow Panda products and brands including Gentle Touch, Zoo Zoo, Helper and Helper Professional.

9. 🎤 Industry Events & Conferences

LatamCORR Brasil 2026 to Connect Corrugated Industry Leaders

LatamCORR Brasil 2026 is scheduled for November 12, 2026, at Royal Palm Hall in Campinas, São Paulo.

The event will bring together corrugated-board and box manufacturers with national and international suppliers of machinery, equipment, consumables, technologies and specialized services.

The event's participant profile includes a substantial representation of senior decision-makers: 62.5% of participants hold senior leadership or management positions, while 19.3% are operational leaders and 18.2% occupy technical or specialized roles.

The program will include technical presentations, an exhibition area, technology demonstrations, business meetings and networking opportunities between manufacturers and suppliers.