Varel to temporarily idle board production and reduce output

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Germany's corrugated case material and board manufacturer PKV (Papier- und Kartonfabrik Varel) announces a temporary stop to board production as of the end of August due to high costs and weakening demand.

According to PKV, the measure was due to high input costs, disruptions in international logistics and weakening demand, and will reduce board output at the Varel mill by 10-15 per cent. "Through this measure, we contribute to the EU's expected energy saving of 15 per cent and help to improve gas supply in the winter half-year," the company announced.

PKV did not provide more information on the duration of the commercial downtime, nor did it specify how it is going to be performed. The company runs two board machine with a total production capacity of 270,000 tpy. Varel produces recycled-fibre based cartonboard in basis weights of 350 to 1,400 g/m², including greyboard, GD and GT board.

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