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Newsprint Remains Flat

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July estimated 30-lb newsprint prices in the U.S. East were flat at $640/metric ton, Wilde says, adding that the recent $35/metric ton price hike failed to stick. "Key issue? Weak domestic demand," he notes, pointing out that consumption of U.S. dailies in June was down 15.6% y/y. Producers are focusing on exports. Even so, a strong Canadian dollar (a big issue for Canadian mills) and rising inputs are squeezing margins.

SP Newsprint is reportedly making trial runs on producing bag paper on one of its machines in Dublin, Ga., Wilde reports. "It says a lot when one of most efficient newsprint mills on the continent is looking for other markets," he adds.


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