Suzano Begins Operation of New Pulp Mill in Mato Grosso do Sul, Brazil
The new pulp mill, which Suzano named "Cerrado Project" while under construction, has the capacity to produce 2.55 million tons per year of eucalyptus pulp. The project is the result of a total investment of R$22.2 billion (US$4.3 billion), of which R$15.9 billion (US$3.1 billion) was earmarked for the construction of the mill and R$6.3 billion (US$1.2 billion) for initiatives such as the formation of the planting base and the logistics structure for the flow of cellulose. Suzano Begins Testing First High-Capacity Electric Truck to Improve Sustainable Transportation
The “Atlas” truck, developed by VIX, has the potential to save up to 8,300 liters of diesel per month and reduce CO2 emissions by approximately 21 tons. Suzano’s ambition is to reduce emissions by 20% on the route between the mill and Portocel – where products from Suzano’s Aracruz Unit are exported to different parts of the world. Paper Industry in Europe Saw Sharp Decrease in Paper and Board Production in 2023The Confederation of European Paper Industries (Cepi) has released its final summary and statistics report for 2023.
The decrease in paper and board production in 2023 (-13%) resulting from low demand was far more pronounced even than during the Covid-19 crisis (-4.7% in 2020). This is a trend that is not particular only to Europe, but the global slowdown has been worsened in the EU by comparatively high costs for production inputs, notably energy. The European economy as a whole has lost momentum, against the background of a high cost of living, monetary tightening, and a weak external demand. Smurfit WestRock CEO Celebrates "Momentous Occasion" at New York Stock Exchange Opening Event
Yesterday, Tony Smurfit, Group CEO and President at Smurfit Westrock, in his LinkedIn page, commented on the start of the new paper-based packaging company's journey. "Today was a truly amazing day! I was so honored on behalf of all my colleagues to officially announce our company Smurfit Westrock, to the world on the NYSE at 9.30am EDT. I was privileged to be surrounded by my family and so many amazing colleagues who have made this truly historic event happen. Suzano Getting Ready to Start-up New Pulp Mill in Mato Grosso do Sul, Brazil
Initially announced in May of 2021, the Cerrado Project involves the construction of the new pulp mill that will have the capacity to produce 2.55 million tons per year of eucalyptus pulp, increasing Suzano's installed market pulp capacity to 13.5 million tons per year. The R$22.2 billion project is one of the largest private-sector investments currently under development in Brazil. ONE Modern Inaugurates New Savannah-India Connection
“This new offering from ONE is a recognition of India’s growing role as a manufacturing hub,” said Georgia Ports Authority President and CEO Griff Lynch. “As the world’s most populous country, with a growing consumer class and significant infrastructure investment, India represents a remarkable opportunity for trade via Savannah.” DP World Announces Major Investments in Latin American Ports to Boost Capacity and Efficiency
The expansions come amidst an increasingly complex global supply chain landscape, as leaders are seeking ways to mitigate risks and enhance resilience. Situated on the West Coast of South America, Peru and Ecuador are pivotal to DP World’s global strategy, serving as key gateways to international trade. Norske Skog Plans to Enter the Pulp Market with New Production Line at Saugbrugs
The potential new pulp line is based on reutilizing a portion of the mill that housed PM6, which was heavily damaged during a rockslide that occured in April of 2023. PM6, which had the capacity to produce 260,000 tonnes per year of SC (supercalendered) magazine paper, was shut down and remains idle. Warehousing and Distribution Provider Terminal Corporation Opens North Jacksonville Facility
The company’s anchor tenant, ARAUCO, a global manufacturer and distributor of forest products, will move premium plywood, millwork (moldings like baseboards and chair rails), lumber, and wood pulp. Other commodities, including steel, aluminum, and building products, will also move through. UPM to Permanently Reduce Graphic Paper Capacity in Germany by 610,000 Tonnes
Should the plans be implemented, the number of positions affected is estimated approximately at 135 in Hürth and 210 in Dörpen. Metsä Fibre Has Started Pulp Deliveries to Green Bay, Wisconsin
According to the company, “The port of Green Bay is close to paper mills in the Wisconsin area, which are significant users of market pulp. Our first pulp shipment set off from Rauma, carrying softwood pulp, which will be used, among other things, for the production of tissue and specialty papers.” PhilaPort’s European Rep Lutz Ehrhardt Retires; Uwe Gaede Named Successor
Ehrhardt will be succeeded by Uwe Gaede, a well-known shipping leader, who was ocean carrier Hamburg’s Süd’s marketing director in North Europe for the last 20 years. From his home city of Hamburg, Germany, Lutz was Port of Philadelphia’s liaison with ocean carriers, shippers, and government officials in one of the largest shipping markets in the world.
BC Council of Forest Industries Urges Government to Move Faster to Stabilize Timber Supply
“Escalating closures and curtailments of lumber, pulp and paper mills in BC mean the provincial government needs to move faster to stabilize timber supply. Additional transition measures are needed within the next 60 days to address current challenges in approval and permitting systems, and changing land use policies that are leading to dramatic declines in harvest levels. “Each time a mill closes in BC, there is a substantial direct impact on employees and their families, with further consequences for local communities as well as across supply chains. The loss of high paying jobs, local tax revenue and relocation to new employment opportunities have lasting effects in rural communities. Verbrugge International Discharges Pulp Bales from G2 Vessel at Scaldia Terminal
The vessel was loaded with approximately 65,000 tonnes of wood pulp out of South America. Located in the port of Vlissingen, Verbrugge Scaldia Terminal handles wood pulp, agri bulk, wood pellets, paper, metals, steel, concentrates, high and heavy project cargo and offshore wind projects. CMPC Announces Intention to Build 2.5 Million TPY Pulp Mill in Rio Grande do Sul, Brazil
The project, called Natureza, has an integral scope that combines industrialization, road and port infrastructure, sustainable associative forestry, conservation and cultural promotion, and involves the construction of a pulp mill with the capacity to produce up to 2.5 million tons per year of bleached short-fiber kraft pulp (BHKP) West Fraser Completes Sale of Its Two Pulp Mills in Western Canada to Atlas Holdings
West Fraser first announced its intention to sell the two pulp mills to Atlas Holdings in September of 2023. At that time, West Fraser said the combined total cash proceeds from the sale are US$120 million. International Paper Announces Agreement to Acquire DS Smith
"Combining with DS Smith is a logical next step in IP's strategy to drive profitable growth by strengthening our global packaging business," said Mark Sutton, Chairman and CEO of IP. "DS Smith is a leader in packaging solutions with an extensive reach across Europe, which complements IP's capabilities. UPM’s First Pulp Transport by Rail Ran Successfully in Uruguay
The reconstruction of the Central Railway line from Uruguay inland to the capital Montevideo is one of the most important infrastructure projects in Uruguay's history, carried out as a public-private partnership. The 5 Minutes That Brought Down the Key Bridge
The terse command from an officer in Baltimore’s busy commercial shipping port was one of the first warnings of a disaster that experts now predict will transform shipping on the Eastern Seaboard and change how ships and bridges function around the world. But after the cargo ship Dali lost power early Tuesday, there were precious few minutes to act. In those minutes, many people — from the ship’s crew, who sent out a mayday signal, to the transportation authority police officers, who stopped traffic heading onto the Francis Scott Key Bridge — did what they could to avert catastrophe, most likely saving many lives. Major Bridge in Baltimore Collapses After Being Struck by Cargo Ship
It was not immediately clear how many people were on the span — the Francis Scott Key Bridge, which is part of Interstate 695 — when the cargo ship struck. Baltimore’s fire chief, James Wallace, told a news conference that officials were searching for “upwards of seven people” and that two others had been pulled from the water. One of them was in serious condition. He said the fire department had used sonar to detect vehicles that fell into the water. Richard Worley, the Baltimore police commissioner, said there was “absolutely no indication” that the vessel had intentionally struck the bridge. Here’s what else to know: Read more at the New York Times Buffalo Rail & Infrastructure has Acquired Taylor Pulp Assets from Canfor for $7 Million
The Taylor pulp mill has been idle since the first quarter of 2022 due to ongoing uncertainty with regards to the availability of economically viable fibre in the region and market weakness for its product — Bleached ChemiThermo Mechanical Pulp (BCTMP). According to Buffalo, the property will be repurposed over time into a multi-use industrial distribution and logistics hub focused on serving the region's energy, agricultural and forestry industries. DB Cargo First Deliveries of Wood to UPM Leuna Biorefinery in Germany
65 Metric-Ton Pulp-Producing Piece of Equipment Moves Through JAXPORT
Owned by American paper and pulp manufacturer and distributor Georgia Pacific, the drum is a type of project cargo due to its large size, spanning 32 feet long and 15 feet wide. It moved from Europe to Jacksonville, Florida, onboard the Spliethoff breakbulk vessel Sampogracht and was lifted off the ship onto a special trailer used for transporting big pieces of cargo. Metsä Group's Kemi Bioproduct Mill Ensures Efficient Logistics
Pulp bales produced at the bioproduct mill are automatically loaded onto HCT (High Capacity Transport) trucks. These trucks, powered by biodiesel, transport the bales to a port warehouse located 15 kilometers away. The specially designed HCT truck can carry approximately 72 tons of pulp load at once, about 1.5 times more than a standard truck load. These solutions significantly reduce the carbon footprint of transportation. Red Sea Crisis Hits Swedish Exports of Forest Products
“We calculate that our industry is the single largest transport buyer of container freight from Sweden via the Suez Canal, where costs have now unexpectedly jumped by 100 to 200 per cent, so we view the future with some concern. There is a risk of container shortages, delays and disruption. Going around the Cape of Good Hope instead of via the [Suez] Canal can take up to 30 extra days for a round trip,” says Christian Nielsen, Market Expert Wood Products at Swedish Forest Industries. Europe's Road Freight Spot Rates Drop Below Contract Rates
A recent update from the IRU, Transport Intelligence (Ti) and Upply explained that falling spot rates have been driven by declining industrial demand, while contract rate rises have been prompted by new emission tolls and general cost growth. The update said: “Contract prices are climbing above spot rates from Germany to Paris, Birmingham, Milan, Lille, Madrid, Rotterdam and Antwerp.” Thomas Larrieu, CEO at digital freight solutions platform Upply, said: “At the start of 2024, shippers now have access to spot rates that are lower than contractual rates. Wisconsin Paper Group Marks 90 Years of Shipping Excellence
The Wisconsin Paper Group, also known as The WPG Shippers Association, acts as an extension of their members’ logistics teams. Members tender orders for less-than-truckload and shared truckload shipments to WPG for consolidation into multi-stop or single-stop truckload deliveries. The Impact of the Suez Canal Disruption on Pulp Prices and Shipments
These assaults, occurring on a crucial East-West trade route, have prompted a significant change in shipping routes. Instead of taking the shorter route through the Suez Canal, over 100 container ships have rerouted around southern Africa. This diversion adds approximately 6,000 nautical miles to the typical journey from Asia to Europe, resulting in potential delivery delays of three to four weeks. Read more at ResourceWise Georgia Ports Authority provides Update on Blue Ridge Connector Project
The Blue Ridge Connector is a catalyst for enabling businesses to succeed through a competitive supply chain in a growing Northeast Georgia regional market. Opening in 2026, the Blue Ridge Connector will serve as an important connection for this growing distribution area. Port officials offered an update recently to representatives from surrounding counties and customers about the arrival of this new infrastructure for future growth. Red Sea Crisis Changes Container Shipping Situation from Glut to Tightness
In the report, Vespucci Maritime CEO Lars Jensen wrote that up until mid-December 2023, the baseline outlook for 2024 was for a continued cyclical downturn likely with freight rates bottoming out in late 1Q or early 2Q 2024. “After this, it was anticipated that carriers would begin to idle more capacity to stabilise and strengthen rates from what had already become loss-making levels. The de-facto closure of the Suez routing has changed this baseline outlook fundamentally.” Read more at Container News Resourcewise's 2024 Forest Products Industry Predictions
1. The inventory destocking that occurred in virtually every industry in 2023 is coming to an end. This brings positive implications for the global pulp and paper industry and solid wood and lumber markets. Inventory destocking was one of the more important factors that contributed to the 2023 economy. With the end of destocking and indications of the Federal Reserve’s interest rate hikes ending, confidence in the economy has been embedded. This sets the stage for a resurgence in economic activity within the industrial sector, which is expected to occur in the first quarter of 2024. Read more at ResourceWise Editorial: SC Port Expansion is Needed, but Keep North Charleston’s Needs in Mind
The Global Gateway project consumed several years of planning and efforts that turned out to be in vain, as opposition to the expansion ultimately scuttled it and led the port instead to expand its operations on the southern end of the former Charleston Naval Base, an expansion now known as the Hugh Leatherman Terminal. That’s why we support Gov. Henry McMaster’s request that lawmakers provide $55 million to purchase a now-shuttered WestRock paper mill on the Cooper River, just next door to the North Charleston terminal. It’s not every day the state has a chance to buy from a willing seller a significant chunk of industrial waterfront property near its major port operation; those chances should be seized when they appear. It certainly will put the port in a better position to expand in the long run. Read more at The Post and Courier West Coast Shipping Rates Surge as Red Sea Fallout Goes Global
The Red Sea crisis coincides with drought restrictions in the Panama Canal. Asian cargo bound for East and Gulf Coast ports had previously been switched from Panama to the Suez Canal, and is now being rerouted on even longer voyages around the Cape of Good Hope. The much shorter route from Asia to the West Coast is looking increasingly attractive. At 14 knots, a direct voyage from Shanghai to New York via the Cape of Good Hope takes 43 days, according to Sea-Distances.org. A direct voyage from Shanghai to Los Angeles takes only... Read more at Freight Waves SSA Jacksonville Container Terminal Expansion Project Reaches Halfway Mark
The phased construction project began in 2022, with the company recently completing four of the project’s eight phases, including installing upgraded terminal lighting and a redesigned terminal gate system, as well as paving nearly 40 acres with heavy-duty asphalt. Six new outbound truck lanes are also currently under construction and scheduled to open in February 2024, with improvements to the terminal’s six inbound lanes scheduled for completion in late 2024. Holmen Paper: Logistics with Sustainability in Focus
In many aspects it refers to a "backwards planning" - to "do the math" from when the customer wants the delivery and going all the way back to our own operations. If we do this the proper way, we have the best chance to deliver the right volumes to the customer, when they want it and in a cost-effective and sustainable way. CN to Acquire Iowa Northern Railway
The terms of the deal were not disclosed. The transaction closed into an independent voting trust pending regulatory review of the transaction by the U.S. Surface Transportation Board (STB). IANR serves upper Midwest agricultural and industrial markets covering many goods, including biofuels and grain. This transaction represents a meaningful opportunity to support the growth of local business by creating single-line service to North American destinations, while preserving access to existing carrier options. All Berths Open for Business at Port of Savannah; Dock Renovations, Crane Commissioning Complete
“For the first time in two and a half years, all berths are open at Garden City Terminal for faster, more efficient cargo handling,” said Georgia Ports Authority President and CEO Griff Lynch. “We appreciate our customers’ patience during the renovation of Berth 1, and look forward to providing the world-class vessel service they have come to expect from GPA.” The Port of Savannah handled 449,000 twenty-foot equivalent container units in October, for its fourth-busiest October ever and a 5 percent increase over the same month in 2019, the most recent year not affected by the pandemic. Autonomous Trucks Cutting a Path in Forestry Sector
Nov. 14, 2023 - In an untamed Quebec forest, a Canada lynx watches curiously from the bush as a platoon of Mack Granite logging trucks, one of them operated autonomously, passes by on a remote logging road. Meanwhile in Maryland, engineers from Robotic Research Autonomous Industries (RRAI) watch the lynx on screens set up to monitor the performance of the autonomous truck platoons serving a Resolute Forest Products facility. This is the rugged Canadian wilderness, where forestry trucks encounter some of the toughest conditions imaginable. And this, according to Robotic Research, is the perfect environment for the near-term automation of commercial trucking. Gabe Sganga is head of commercial growth for RRAI. The company got its start in automation more than 20 years ago, before anyone in the commercial trucking sector was even thinking about automating heavy trucks. Robotic’s origins involved working with the U.S. Department of Defense to develop automated military vehicles. In recent years, the company realized its AutoDrive self-driving platform had commercial potential as well. UPM Pulp’s Regular Customer Surveys Provide Valuable Input for Development of Services
UPM Pulp conducts a survey twice a year to measure customer satisfaction. The survey has been carried out in its current form for three years and this is sent out to around 500 customer contacts. According to Miikka Kangas, Senior Manager Commercial Development, Pulp Sales at UPM Pulp, the aim has been to keep the survey light and simple, with only two main questions. Prince Rupert Port Authority to Begin Construction On $750 Million Export Logistics Project
The investment promises to deliver critical trade infrastructure that will improve supply chain resiliency, strategic market access and enhanced competitiveness for Canadian exports. The project will consist of a 108-acre greenfield development on Ridley Island that will commence operation in Q3 2026. Paper Excellence Canada Restarts Pulp Operations at Catalyst Crofton Mill
"While market conditions allow for the restart of our pulp operations, the curtailment of paper operations at Crofton is being extended to the end of October," the company said in a press release. Krista Cuddy, Catalyst Crofton, Interim Director - Operations & Integration, explained, "In spite of challenges posed by exceptionally low pulp and paper prices driven by global market fluctuations, we are pleased to announce that we are resuming pulp production and reinstating a portion of our workforce at our Crofton mill. Klabin Holds Inauguration Ceremony for Puma II in Paraná, Brazil
According to Klabin, the Puma II project is the largest investment in the company's history and the largest private investment ever made in the State of Paraná. With an investment of R$12.9 billion, Klabin installed two new paper machines -- MP27 and MP28 – which are both in operation and have a combined production capacity of 910 thousand tons per year of packaging paper grades. Together, the two machines increase Klabin's annual production capacity to 4.7 million tons of paper and cellulose. West Fraser to Sell Two Pulp Mills in Western Canada to Atlas Holdings for $120 Million
The agreement announced today includes related woodlands operations and timber holdings in Alberta and a long-term fibre supply agreement for the Quesnel River Pulp facility. Upon closing of the transaction, the Quesnel River and Slave Lake pulp mills will be operated by Millar Western Forest Products, which joined the global Atlas family of manufacturing and distribution businesses in 2017. Resolute Invests in Innovative Truck Platooning Technology
The project is spearheaded by FPInnovations, a private not-for-profit R&D organization that specializes in developing solutions to make the Canadian forest products sector more competitive. G2 Ocean Adds Two More Ammonia-Ready Vessels to Its Fleet
Following its commitment to only purchase newbuilt vessels with zero-emission technology, Grieg signed a contract in May 2023 with the shipyard CSSC Huangpu Wenchong Longxue which included two firm plus two optional 82,300 deadweight tonne (dwt) ammonia-ready open hatch vessels. Last week, Grieg exercised its option for the two additional vessels. All four vessels will be delivered to G2 Ocean’s pool in 2026. Alexander Global Logistics Opens New Country Office in United Arab Emirates
The establishment of the new country office coincides with a 10-year Strategic Partnership Agreement signed by AGL and AD Ports Group in May of 2022. According to the agreement, the two parties would collaborate to form and launch a transshipment hub in Abu Dhabi dedicated to handling pulp and paper products. Georgia Ports Authority, CSX Offer New ‘Carolina Connector’ Service
“This is an exciting logistics solution for existing and new customers across North Carolina,” said Georgia Ports Authority President and CEO Griff Lynch. “In collaboration with CSX, we’re offering daily access and faster service, bringing world-class port services to the doorstep of the area’s business and industry.” The Georgia Ports Authority and CSX have teamed to provide 7-day-a-week rail departures between GPA’s Mason Mega Rail Terminal in Savannah and the Eastern North Carolina location, offering customers three-day ship-to-shore transit time. Metsä Group Says Logistics Solution is Ready for New Kemi Bioproduct Mill
Two thirds of the new mill’s wood will be transported by rail, using the new private track. The transports are powered by VR’s latest engines. Vectron electric locomotives can handle loads as heavy as 2,500 tonnes, which means approximately 20–25 per cent more wood per train. All in all, more than 400 wagons will be used for the Kemi bioproduct mill’s rail transports, and the fleet is assigned exclusively to these transports. Traffic infrastructure and related improvements have been addressed from the project’s outset, and they have been designed jointly with the Finnish Transport Infrastructure Agency and VR. The mill’s private track enables wood transports with electric locomotives all the way to the mill. As Deepsea Rates Dive, Carriers Hunt for Intra-Europe Shortsea Returns
European shortsea services, such as Ellerman City Liners’ North Europe to Iberia routes and WEC Lines’ new Euro-Maroc service, which launches this month, are not only confirmation of demand, but also that sustainable freight rates can be achieved on intra-Europe routes. And as ocean carriers idle their huge newbuild deliveries, due to poor demand prospects on the Asia-Europe and transpacific trades, many secondary and small routes continue to thrive, creating demand for smaller tonnage. Moreover, feeder operators, no longer hobbled by owners’ demands for lengthy time-charter periods and sky-high daily hire rates, are now Port of Kemi Expansion Project Enters Finishing and Testing Phases
According to the Port, expansion work has advanced as planned and finishing work as well as testing is now underway in the expansion area. “At the moment, an inspection of the safe clearance depth is ongoing in the dock area according to the specifications of the Finnis Transport and Communications Agency Traficom.” said Jari Heikkilä, Technical Manager at Port of Kemi. “The inspection will be finished by the end of August, after which Traficom will give the green light for the new waterway. Port of Jacksonville Closed Wednesday, Aug. 30 Due to Hurricane Idalia
The port anticipates reopening tomorrow, Thursday, August 31, pending storm impacts and once federal reopening safety protocols are completed. Port of Savannah Receives Four New Electric Ship-to-Shore Cranes
“Along with the completion of our project to improve Berth 1, these cranes will help deliver faster turn times to our ocean carrier customers, including the largest vessels calling on the U.S. East Coast,” said Griff Lynch, Georgia Ports Authority president and CEO. “No other terminal in the nation can bring more cranes to bear, or match the efficiency, productivity and global connectivity of the Port of Savannah.” Designed by Konecranes of Finland, the all-electric cranes arrived on the vessel BigLift Barentsz. European Softwood Lumber Exports to the US Cooled in Second Quarter of 2023
Imports from the 10 largest European suppliers fell to 428 million board feet (mmbf) in the second quarter, down 30% from the record-setting first-quarter volume of 610 mmbf and lagging the year-ago total by 12%. European shipments to the US declined to the lowest quarterly total since the last three months of 2021. US imports from Europe through the first half reached 1.04 billion board feet (bbf), up 12% compared to the year-ago pace through June. Shipments jumped 38% in the first quarter compared to the 2022 pace through March after reaching all-time highs last year. Exports of Pulp from Brazil Climb to USD 4.1 Billion in First Half 2023; China, North America, Main Destinations
The value of paper exports to North America also increased by 20.8%, reaching R$ 130.8 million between January and June. In the first half of 2023, the increase in pulp exports to China positioned the country as the main destination for exports of pulp produced in Brazil, reaching USD 1.8 billion traded in the first six months of 2023, followed by Europe with USD 1 billion. WestRock Announces Plans to Close Pulp and Paper Mill in Tacoma, Washington
WestRock is committed to improving its return on invested capital as well as maximizing the performance of its assets. The combination of high operating costs and the need for significant capital investment were the determining factors in the decision to cease operations at the mill. "WestRock is working to optimize our operational footprint and consolidate production in order to improve our return on invested capital, and we have made the difficult decision to close the Tacoma mill as part of this effort," said David B. Sewell, chief executive officer at WestRock. "One of the most critical factors... Thunder Bay Pulp and Paper Acquires Thunder Bay Mill from Resolute
Thunder Bay is a leading northern bleached softwood kraft and northern bleached hardwood kraft pulp, paper, newsprint and directory producer. The mill has been a landmark in northwestern Ontario for more than a century. Kent Ramsay, who has served as General Manager of the Mill since 2019, has been named President of Thunder Bay Pulp and Paper. Canfor Pulp Reports Results for Second Quarter of 2023
"Financially, this was a challenging quarter for the pulp business as declining global pulp market conditions weighed heavily on results. While we continue to navigate the current external challenges facing our pulp business, including the ongoing weak global pulp market fundamentals, we greatly appreciate our employees' continued efforts in navigating through these difficult conditions." Global softwood pulp market fundamentals and pricing experienced considerable pressure during the second quarter of 2023 as tepid global demand was combined with rising global softwood pulp producer inventory levels. As a result, NBSK US-dollar list prices to China dropped sharply throughout the quarter to end June at a low of US$648 per tonne. First Shipment of Pulp from UPM Paso de los Toros Mill Arrives in Qingdao, China
Some of our key pulp customers in China together with our Pulp APAC team members celebrated this important milestone together. In collaboration with Saga Welco's team, the UPM Pulp team organised an informative vessel tour providing our customers with valuable insights into UPM's efficient, reliable and sustainable logistic network. In addition, they witnessed the unloading of the first batch of pulp from the UPM Paso de los Toros mill in central Uruguay. The B.C. Port Strike Is Over, But Economic Impact Could Last Weeks
The Railway Association of Canada estimates it could take three to five days for supply chains to recover for each single day the port was shuttered. Following a 13-day shutdown, that's at least 5½ weeks. Some industry experts say it could take even longer. The International Longshore and Warehouse Union Canada (ILWU) and the B.C. Maritime Employers Association agreed to a tentative four-year deal on Thursday morning to end the shutdown, and about 7,400 workers are expected to be back at work today. The details of that agreement haven't been made public yet. Canfor Pulp Temporarily Curtailing Northwood Pulp Mill Due to Ongoing Labour Dispute at B.C. Ports
The curtailment is due to limited storage space for pulp products that cannot be transported overseas as a result of the ongoing labour dispute at B.C. ports. The downtime is expected to remain in place for the duration of the labour dispute and will remove approximately 11,000 tonnes of market kraft pulp per week. US ILWU Rejects Diverted Vessels Amid Canada Strikes
With 16 vessels currently anchored off the Port of Vancouver and another six vessels at Prince Rupert, CNBC has reported that another 15 containerships are bound for Vancouver and nine for Prince Rupert, ships of which the ILWU would avoid, should they be rerouted. Two of the vessels to be diverted were the MSC Sara Elena and the OOCL San Francisco, while the MSC Matilde V recently departed back to Qingdao after holding cargo intended for Vancouver, reported CNBC. Mondi to Acquire Hinton Pulp Mill from West Fraser for USD 5 Million
As part of the transaction, Mondi will enter into a long-term partnership with West Fraser to access local, high-quality fibre from a well-established wood basket. The intention, subject to pre-engineering and permitting, is to invest EUR 400 million in the expansion of Hinton, primarily for a new 200,000 tonne per year kraft paper machine, anticipated to be operational from the second half of 2027. UPM Permanently Cuts 485,000 Tonnes of Graphic Paper Capacity in Europe
The employee consultation process in Schongau was conducted in line with local legislations and has now been finalized. The number of persons affected is 136 for the site. The uncoated publication paper machine 6 will be permanently closed today. UPM Schongau continues graphic paper production on the remaining cost-competitive machines. US West Coast Port Deal Eases Strike Tensions as SCFI and FBX Indices Follow WCI
Ports, such as Seattle, displayed 10-day congestion at the port even as ports, such as Los Angeles and Long Beach, saw some ease-off. On the other end, in China, the People's Bank of China reduced the rate on one-year medium-term lending facility (MLF) loans, totalling 237 billion Chinese yuan (US$33 billion), by 10 basis points. The rate cut, its first in 10 months was done on the expectations to re-induce some demand in the economy and ease factory deflation to an extent. Whether the extent of these played into rates and the global freight market and how they will play remains to be seen. Cargo Loaders at B.C.'s Ports Vote Overwhelmingly in Favour of Strike
The International Longshore and Warehouse Union Canada says a vote over the weekend yielded 99.24 per cent support for strike action against the B.C. Maritime Employers Association "if necessary.'' The strike vote gives cargo movers additional leverage in talks with employers, allowing the union to file 72-hour notice for a strike that could begin on June 24 if negotiations do not progress. The Greater Vancouver Board of Trade issued a statement saying a strike could have serious implications for both the B.C. and Canadian economies, given that supply chains have already suffered major blows from the COVID-19 pandemic and recent climate-related disasters, including catastrophic flooding in 2021. SCA’s New RoRo Schedule Optimizes Routes
Above all, the new schedule means that one more trip will call at Umeå. The main background to the change is SCA's expansion of kraftliner manufacturing in Obbola. The decision rests on the increasingly strong demand for renewable packaging in Europe, a need that continues to grow in line with increased e-commerce, growing population and the ambition to reduce plastic use. “Our previous schedule had a structure based on 2016 volumes. We have of course made adjustments over the years, but now we have really optimized the system based on the volumes we have today and the development we see going forward,” says Andreas Disby, Forwarding Manager, Vessel Operations at SCA Logistics. First Shipment of Pulp from UPM Paso de los Toros Mill Sailed from Montevideo
The M/V Saga Faith sailed on Friday, 26 May, carrying a full ship load of about 50,000 tonnes of UPM Euca pulp to Asia, where the vessel is expected to arrive around mid July. UPM’s pulp terminal in the port of Montevideo started operations in October 2022. The highly specialised, fit-for-purpose pulp terminal operates 24/7 with an annual operating capacity of over 2 million tonnes of pulp and 80 ships per year. Norske Skog Bruck Begins Commercial Deliveries of Recycled Containerboard
In early April, Norske Skog started production of recycled containerboard at its Bruck mill in Styria, Austria. Bruck mill's PM3 was converted from the production of newsprint to testliner and fluting, and has the capacity to produce 210,000 tonnes per year. APM Terminals Pledges EUR 962 Million Investment in Brazilian Terminals by 2026
This figure includes a EUR 296 million (R$ 1.6 billion) of a total EUR 483 (R$ 2.6 billion) investment exclusively for the Phase One development of a new terminal in Suape. The terminal, located in Estaleiro Atlântico Sul, is in the final stages of acquisition and will rejuvenate infrastructure and increase competition in the port. APM Terminals has committed an additional EUR 666 (R$ 3.6 billion) of investment to the company’s four other terminals and inland depots, by 2026. A large share of this, around EUR285 million, is allocated to Brasil Terminal Portuário, Santos. Georgia Ports Authority Wins Environmental Approval for Gainesville Rail Hub
GPA recently received NEPA (National Environmental Policy Act) approval for the Northeast Georgia Inland Port in the Gainesville-Hall County area. The Authority will now finalize a grant agreement with the U.S. Department of Transportation Maritime Administration, and then move on to construction. MARAD has awarded GPA a grant of up to $46.8 million to build a new inland container port along the I-85/I-985 corridor. Earthwork is slated to begin in July, with terminal construction scheduled to begin January 2024 and wrap up by July 2026. WestRock to Close Paper Mill in North Charleston, South Carolina
"WestRock and its predecessor companies have had a long history in the region operating the North Charleston mill, and the contributions of the team members over the years have been greatly appreciated," said David B. Sewell, CEO at WestRock. "The decision to close a facility and impact the lives of our team members is never easy, and we are committed to assisting our North Charleston team with exploring roles at other WestRock locations and outplacement assistance." Total U.S. Containerboard Production Decreased 10 Percent in Q1 2023
All containerboard grades experienced operating rate increases relative to Q4 2022. Liner grades had a combined quarterly operating rate of 83.5%, up from 78.7%, while Medium grades were at 90.9%, up from 86.1%. Export production in Q1 was 22.9% higher than the previous quarter, but trailed Q1 2022 production by 23.5%. Mill inventories dropped below 400,000 short tons for the first time since September 2021. Metsä Group and Royal Wagenborg Collaborate to Reduce Carbon Dioxide Emissions
“The majority of our products are delivered to our customers by sea, and Royal Wagenborg is an important partner for us. Shipping as a whole represents about three percent of the world's greenhouse gas emissions, and it is important to achieve emission reductions," said Jari Voutilainen, Director of Procurement and Logistics at Metsä Group. VR’s First Electrically Driven Train Transporting Roundwood Arrives at Metsä Group’s Kemi Bioproduct Mill
At the Kemi bioproduct mill, rail transports will account for approximately two thirds of the roundwood consumed. This translates to roughly 5 million cubic metres per year, or around 8–10 trains per day. Large volumes of wood can be transported in an efficient and environmentally friendly way, with wood loading, rail transports and unloading designed to work smoothly. The Northwest Seaport Alliance Launches Rail Cargo Incentive Program in Pacific Northwest
Approximately half the import cargo that moves through the NWSA gateway is bound for destinations outside of the Puget Sound region, primarily the Midwest. The 2023 Rail Cargo Incentive Program will provide a $50 incentive per rail lift for eligible rail volumes moving through the gateway beginning on May 1, 2023. UPM's Pulp Mill in Paso de los Toros, Uruguay, Ready for Start-Up
The new pulp mill has an annual production capacity of 2.1 million tonnes of eucalyptus pulp. First customer deliveries are expected to start within the first month following the start-up. Port of Savannah Adding 55 Hybrid Yard Cranes
The hybrid machines will exclusively operate off electric battery power, with diesel generators running only to recharge batteries. This will reduce fuel consumption by an estimated 47 percent compared to all-diesel machines. Per year, that is a reduction of 8,800 gallons of diesel per crane, or nearly 500,000 gallons annually across the Ocean Terminal fleet. This will result in a fuel purchase savings of more than $1.6 million per year at current rates. Lucart Invests in New Logistics Hub in Saint-Diè-des-Vosges, France
In 2022, the mill produced 65,000 tonnes of high-quality tissue paper. The new logistics hub located in the Hellieule business park is a 22,000-square-metre building built on 10 hectares of land with a storage capacity of 20,000 pallet columns. The site was created to concentrate finished product stocks before they are shipped to customers in France, Germany, the Benelux and Northern Europe. Klabin Officially Inaugurates Port Terminal in Paranaguá
With the capacity to receive one million tons of pulp and paper per year, the Terminal is part of the investment package in logistics made by the company in Paraná in recent years. With the operation, the unloading of short and long fiber pulp, fluff pulp and paper, from the Puma Units, located in Ortigueira (PR), and from the Monte Alegre Unit, in Telêmaco Borba (PR), can be carried out within the Port of Paranaguá. Canadian Pacific and Kansas City Southern Combination Approved by U.S. Surface Transportation Board
The decision authorizes CP to exercise control of KCS as early as April 14, 2023, at or after which point CP and KCS would combine to create the new CPKC. CP is reviewing the full 212-page decision in detail and in the coming days will announce its plans with respect to the creation of CPKC. DP World to Invest $35 Million to Boost Container Capacity in Brazil in 2023
With the investment, the company plans to increase annual movement capacity from 1.2 million TEUs (unit equivalent to a twenty-foot container) to 1.4 million TEUs and expand the size of the quay from 1,100 meters to 1,300 meters. The terminal currently inhabits 845,000 square meters, with an additional 130,000 square meters available for expansion. The port is also home to extensive cellulose pulp operations. ContainerPort Group Further Develops Operations in Philadelphia
“As the cargo continues to flow through the east coast, our customers are turning to us for additional trucking capacity throughout the Northeast, and particularly in Philadelphia. We already have a presence across other ports including New York/New Jersey, Norfolk, Baltimore, and more, so broadening our footprint to include Philadelphia was a next logical step for our business and for our customers,” said Joey Palmer, President, CPG. Woodfiber Shortages Deepen in British Columbia While Pulp Operations Stall
“Inventories dropped quickly during the fourth quarter,” a wood buyer said. He added that there is further weakness in the logging and trucking force. “That’s a real fear.” Most of British Columbia’s (BC) pulping capacity is dependent on sawmill residuals for furnish, so to backfill lost volume, mills are turning to more pulp logs and expensive whole-log chips. Some are buying low-grade sawlogs. But with the lack of sawlog demand, less pulp logs are being harvested as they are a come-along product. “There are no incremental sawmill chips available,” a source said. “We’re chipping logs, which now provides 25% of our supply.” Attributing government “issues,” such as the old-growth deferral and other set-asides, a contact said, “Everyone is running at 75% capacity or so and it will be like that at least through the year. The pulp mills in BC are down about 6 million m3/year of available supply.” The complete article is available at Fastmarkets: Read more at Fastmarkets Pactiv Evergreen to Close Canton, North Carolina, Pulp and Paper Mill
Pactiv Evergreen did not disclose the production capacity of the Canton mill, however Beth Kelly, Director, Communications said the mill has four paper machines. Production from the Olmsted Falls facility will be reallocated to other sites, Pactiv Evergreen said. The company also continues to explore strategic alternatives for its Pine Bluff, Arkansas, mill and Waynesville, North Carolina, facility. The Company has not set a timetable in relation to this process. Prince Rupert Port Authority Announces Milestone on Ridley Island Export Logistics Project
The Federal Authorities have determined, in accordance with the requirements of Section 82 of the Impact Assessment Act (IAA), that the Ridley Island Export Logistics Project is not likely to cause significant adverse environmental effects. This concludes the Federal environmental review process, which is a prerequisite for the Federal Authorities to consider the required authorizations for the project to proceed. Following receipt of required permits, early works are planned to begin in early March, with tree clearing and site preparation activities. Bracell Adopts the Use of a 100% Electric Truck for Pulp Transport
According to Bracell, the initiative is unprecedented in this type of operation with heavy vehicles (trucks weighing more than 40 tons) and it is estimated that the company will avoid the emission of 132,000 kg of CO2eq per year from a single truck. In this way, the company reinforces its commitment to sustainable development in all its operations, processes and activities and expands its actions aimed at sustainability also to the logistical stage of the production chain, Finnish Transport Workers’ Union Rejects Employer’s Proposal, Strikes Begin at Ports
AKT and employer organisations are at an impasse over wages and working conditions. The strike that started earlier today will last until further notice with all vessel operations in Finland's ports, gate moves and handling of containers within terminals having been suspended until further notice. Spliethoff Takes Delivery of First of Two Spliethoff DP2 B-type Vessels
The Spliethoff DP2 B-type vessels are the next generation offshore supply vessels with a number of versatile characteristics that makes them unique in the market. These state-of-the-art vessels combine the intake of a multi-purpose vessel with a superior DP2 station keeping ability, making them ideal for supplying large volumes and weights of cargo directly offshore. Metsä Board Concludes Logistics Agreements for Kemi Board Mill in Finland
"Efficient export logistics is a key factor in paperboard production. We require efficient and low-emission solutions from our chosen partners in logistics," says Timo Ahonen, VP, Kemi Board mill. The signed agreement is a continuation of an agreement signed earlier by Metsä Group for the transportation of products from the bioproduct mill under construction in Kemi, and has a part in ensuring efficient and environmentally friendly logistics solutions between Metsä Group's Kemi integrated mill and the Ajos harbour. MSC and Maersk to Discontinue 2M Alliance in 2025
In a joint statement, CEO Vincent Clerc of A. P. Moller - Maersk, and CEO Soren Toft of MSC say: “MSC and Maersk recognize that much has changed since the two companies signed the 10-year agreement in 2015. Discontinuing the 2M alliance paves the way for both companies to continue to pursue their individual strategies. Georgia Ports Authority Names Flavio Batista as Vice President of Sales and Marketing
“We’re delighted to add Flavio to our team,” said Cliff Pyron, Chief Commercial Officer at GPA. “His depth of knowledge and the energy he brings to this new position will continue and strengthen the customer-centered focus that has been a hallmark of Georgia Ports.” Batista comes to GPA from the Wallenius Wilhelmsen Group, an ocean carrier focused on developing sustainable shipping and logistics solutions for manufacturers of cars, trucks, heavy equipment and specialized cargo. Kruger Energy’s First Two All-Electric Class 8 Tractor-Trailers Now on the Road
These are among the first all-electric class 8 vehicles operating in Canada, and the first in the Canadian tissue industry. The vehicles have been branded with visuals illustrating Kruger Energy’s activities related to the development and management of renewable energy power assets. The two electric trucks will replace one standard diesel truck and will enable the Company to reduce its GHG emissions by 380 tons of CO2 per year. Spotlight: Domtar’s Supply Chain & Transportation Logistics
Our supply chain and transportation logistics professionals acted with agility and innovation to find new ways to get our customers their pulp products when every mode of transportation was bogged down, slowing the movement of goods throughout the world. At Domtar, the shortage of vessel space, containers, rail cars and over-the-road trucks during and after the pandemic created new shipping challenges. Goods that couldn’t be shipped right away needed to be stored. At times, we held more than 100,000 tons of backlogged pulp product at our mills waiting to be exported. Canfor Pulp to Permanently Close Kraft Pulp Line at Prince George Mill
The closure of the pulp line will result in a reduction of 280,000 tonnes per year of market kraft pulp. Canfor pulp said the Specialty Paper facility at the site will continue to operate. "In recent years, several sawmills have permanently closed in the Prince George region due to reductions in the allowable annual cut and challenges accessing cost-competitive fibre," explained Kevin Edgson, President and CEO of Canfor Pulp. International Forest Products Promotes Michael Collins to Senior Vice President
Collins joined IFP in 2008 and has served in a wide variety of roles, including logistics, sales operations and trading. He will continue to oversee IFP’s domestic containerboard trading; however, as part of his new role, he will also focus on strategies to improve IFP’s operational efficiency and to prepare the company for future growth. Metsä Group and VR Intensify Their Cooperation on Sustainability
In addition, Metsä Group aims to transfer some of its current road transports to railways. Wagenborg Orders Fourth EasyMax Vessel with Royal Niestern Sander Shipyard
According to Wagenborg, the repeat order fits perfectly into the production process at the yard, as the construction of the third Easymax is currently in full swing. This sister ship of the MV ‘Egbert Wagenborg’ and MV ‘Máxima’ is expected to be delivered by the end of 2023. |