Norske sheds newsprint capacity by 450,000 tonnes
The Norske Skog board shuts
down newsprint production
capacity totalling 450,000
tonnes. The decision was taken on
an account of the increasingly weak
market that prohibited efficient
utilization of company’s production
capacity. The continued excess
capacity, at the same time, has
resulted in a weak price trend for
the company’s products.
This closedown amounts to about
7% of the company’s total global
production capacity that will result
in a write-off of about NOK 1.1
billion and includes: permanent
shutdown of Norske Skog Steti
(130,000 tonnes), indefinite
shutdown of PM2 at Norske Skog
Follum (130,000 tonnes), and
indefinite shutdown of Norske Skog
Cheongwon (190,000 tonnes).
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