Uncoated Paper Price Hikes Pushed by Tight Markets
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All major N.A. producers have announced a $40 - $60/ton price hike on SC grades, effective early/mid-April, Wilde also reports. The hike initiative is in anticipation of tight markets in the second half of this year and escalating inputs, he says.
Fire at Norske Skog's Sausbrugs mill in Norway (U.S. market supplies of ˜100,000 tpy) has tightened the non-contract SC market, Wilde explains, while the contract market appears steady. Preliminary February shipments were down 5.6% m/m and 3.6% y/y.
All major producers have also announced a $40/ton price increase on uncoated free sheet converting grades, effective mid/late-April, Wilde notes. Reports suggest that the $40/ton price hike on offset rolls announced by all of the major producers is gaining traction. The key rationale has been escalating input costs for fiber, energy, and chemicals. Offset demand appears to be better than cutsize, driven by a steady recovery in commercial printing. Cutsize appears a bit more sluggish at the moment, Wilde notes,
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