Voith Paper
Past Issues | TAPPI.org | Advertise | Buyers Guide | TAPPI Press Catalog
Travels with Larry Archive

N.A. Coated Groundwood Markets Improving

Print Print this article | Send to Colleague

In the North American coated groundwood arena, a $40 - $60/ton May/June price hike has gained traction, Wilde of Deutsche Bank says. September estimated prices on No. 5, 40-lb offset rolls rose $5/ton to $855 - $895/ton. In August, prices increased $15/ton.

The two key drivers are recent capacity reductions (˜12% of the market—Verso's 180,000 tpy Sartell PM 3 and Resolute's 150,000 SC PM 1 at Catawba) and better-than-expected catalog demand (mostly No. 5, 40-lb grade, Wilde explains. "With prices on non-contract business even higher, we may see further price gains in October. The key downside risk is competition from lower priced SC grades," he notes.

 

Xerium Technologies, Inc.
Sweed Machinery, Inc