Feb 2021

Pulp Capacity & Price Changes

• Pulp prices continue on a strong rally, with the global pulp demand-supply balance tightening considerably.
• Hardwood producers including Suzano, Arauco, CMPC, Cenibra, Klabin, Eldorado have announced new list prices of $720-730/t for March intake in China. This is $100-110/t increase from their announced prices for Feb. Softwood producers have announced similar increases for their Mar intake: Arauco $900/t (+90), West Fraser Cariboo at $950/t (+150). (RISI & Internal, Feb 2021)
• With the previous price increases successfully implemented, hardwood producers including Suzano, Klabin and Eldorado have announced $910/t (+90) in Europe and $1140/t (+100) in North America for Mar deliveries. (RISI, Feb 2021)
• Woodpulp inventories at European ports continue to see drop month-on-month (Jan’21: 1.27 million tonnes vs. Dec’20: 1.31 million tonnes, -3% MoM). BHKP inventories at major Chinese ports in Feb rose against Jan, attributed to lunar new year break (Feb’21: 1.38 million tonnes vs. Jan’21: 1.16 million tonnes). (Europulp & Internal, Feb 2021)

Paper Capacity & Price Changes

• *APRIL* has announced a $100/t price hike for its paper range in all non-China markets, the price hike would either be implemented in full for orders from next month, or else staggered over March and April. (RISI, Feb 2021)
• *Asia Symbol* has announced a 2-phase hike of RMB 1,000/t ($155/t) for its uncoated fine paper range over Mar and Apr. (RISI, Feb 2021)
• *Suzano* informed clients in US and Canada of an 8% price hike for uncoated freesheet (UFS) paper, the price increase will become effective Mar 22. (RISI, Feb 2021)
• *Domtar* on Feb 17 informed customers that pricing on most of its UFS grades in USA and Canada will increase by 6-8% effective Mar 17. (RISI, Feb 2021)
• *PCA* informed customers on Feb 15 that its prices in USA and Canada will increase by $3/cwt ($60/ton), or up to 7%, effective Mar 15 (RISI, Feb 2021)
• *PCA* announces conversion of Jackson, AL, mill UWF paper machine to virgin linerboard: The mill will now begin preparations to permanently convert the 365,000 t/y No. 3 UFS paper machine to a 700,000 t/y virgin kraft linerboard machine. (RISI, Feb 2021)