Hamburger Containerboard to Cease Production at Frohnleiten Mill in Austria
 Print this article | Send to Colleague
Hamburger Containerboard, Austria, a member of the Prinzhorn Group, reports that it will close its recycled containerboard mill in Frohnleiten, Austria, by the end of April 2013. The company attributed the decision to existing overcapacities in Europe and intensified competition on international paper markets, "which do not allow for a cost-effective production at Frohnleiten."
The Frohnleiten mill runs two paper machines with a total capacity of 170,000 metric tpy of brown recycled containerboard. The first paper machine will stop production November 1. The second machine will remain operative until the definitive closure of the Frohnleiten facility on April 30 of next year. Some 100 employees will be affected by the closure.
"The specific equipment at Frohnleiten, with a total capacity of 170,000 metric tpy, produced on two small paper machines with only 2.5 m working width, is not able to compensate long term cost disadvantages on the market," the company noted in a press release. "Moreover," it added, "the current situation in the business sector does not give reason to expect a turnaround. Overseas markets cannot be supplied cost-effectively because of the euro-/dollar-exchange rate. The same applies to exports to Russia and Turkey."
|
|
