Paperfabrik Feldmuehle GmbH is shutting down operations. After more than 120 years, paper production in Uetersen is coming to an end.

In a statement, the label paper manufacturer said it had been confident until recently that a turnaround could be achieved, but added: “Unfortunately, due to unforeseen market developments, the fruitless outcome of the industrial electricity price debate, and a continuous stream of new bureaucratic hurdles, we have ultimately concluded that we are no longer able to maintain production at our Uetersen site on a sufficiently competitive basis. Continuing operations is no longer economically viable.”

The statement continued: “It seems that energy-intensive industry is not meant to remain in Germany. We have therefore halted paper production and will, over the coming weeks, process, sell and ship the finished papers already produced.”

Most recently, the company had announced its intention to conclude the self-administration insolvency proceedings, which have been underway since 1 August, by the end of this year.

Source: Euwid Pulp and Paper