Review of the Pulp & Paper Industry in 2024

2024 is a pivotal year for the pulp, paper and forest products industry, which is facing a transformative landscape shaped by global challenges, important regulatory milestones and emerging new opportunities. From supply chain disruptions and natural disasters, to regulatory changes such as EU anti-dumping rulings and amendments to EU dispute resolution rules, 2024 is destined to be a year of significant change for the industry.

Expansion of pulp mills in Latin America

Latin America is consolidating its position as a key player in the global pulp industry through a series of large-scale investments and expansion projects. These projects include: Arauco's "Anaconda" project, CMPC's investment, Paracel's new plant in Paraguay, the expansion plan of Barcel, and the expansion project of El Dorado Brazil

These projects not only demonstrate the rapid development of Latin America in the pulp industry, but also reflect the region's unique climatic conditions and abundant natural resources, making it an ideal place to meet the global demand for environmentally friendly products.

The U.S. has significantly increased tariffs on Canadian timber

In August 2024, the U.S. Department of Commerce announced a significant increase in tariffs on cork imports from Canada, increasing the combined rate from 8.05% to 14.54%. The decision is part of a long-running trade dispute between the United States and Canada. The United States has accused the Canadian timber industry of benefiting from government subsidies, thereby creating unfair competition in the United States market.

Mergers, acquisitions, and divestments

International Paper announces closure of its plant in Georgetown – International Paper has announced plans to conduct a strategic review of its global cellulosic fibre (GCF) business, which includes the closure of its plant in Georgetown. It is reported that the Georgetown plant alone produces about 300,000 tons of fluff pulp, which is an important raw material for the production of personal care products such as baby diapers and adult incontinence products.