Looking at the capacity plans of the European packaging paper industry, it appears that an “arms race” is taking place. In the recycled corrugated case material segment alone, more than 2
million t of new capacity is planned for 2016/17. Sceptics say the industry is “committing suicide” and even the expected ongoing positive development of the corrugated board industry will not be nearly sufficient to absorb the new volumes. The trend is being partly driven by the fact that producers of graphic and publication paper, who have been suffering from shrinking margins for years, are seeking salvation in the thriving packaging paper industry and see rebuilding their machines as their opportunity.