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Travels with Larry Archive

Uncoated Mechanical Demand Also Weak, Under Pressure

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Uncoated mechanical (UM) demand remains weak and prices are also under pressure, Wilde continues. According to PPPC, he notes, preliminary December shipments were -19.6% y/y (November -14.6% y/y and 2011 -9.9% y/y).

Producers have been shuttering capacity, including Newpage's 360,000 tpy PM 2 at Port Hawkesbury, N.S., Canada, and Verso Paper's 103,000 tpy unit at Sartell, Minn., USA. Port Hawkesbury's new owner, Stern Partners, recently hinted that production could resume by late-Spring. December 35-lb estimated offset prices fell $5/ton to $680 - $710/ton and SC-A fell $23/ton to $820 - $860/ton, according to Wilde.

 

Xerium Technologies, Inc.