UFS Shipments Decline
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January shipments of U.S. uncoated free sheet (UFS) decreased year-over-year 1%, to 780,400 tons, but posted a 5% increase month-over-month, AF&PA reports. U.S. purchases of UFS were down 2% compared with January 2011, at 766,300 tons. UFS inventories increased 1% compared with December, an increase of 11,600 tons. Exports of UFS increased 22% year-over-year in December, the largest increase in 2011, and exports ended the year up 4% over 2010.
The past year included one paper machine shutdown at Domtar's Ashdown, Ark., mill during the summer, followed by the recent closure of Mohawk's Hamilton, Ohio, mill. Despite these reductions in U.S. capacity, Europe saw the addition of 500,000 metric tpy of UFS capacity in Portugal. In spite of the new mill reaching full capacity by the end of the year, imports of UFS finished 2011 lower than 2010, down by 3%, though the import of UFS from Portugal increased 10%.
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