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Progroup's new containerboard machine is up and running


Progroup's new corrugated case material
machine can produce up to 750,000 tpy
27 Aug 2020 − 

Progroup has started up its new containerboard machine in Sandersdorf-Brehna in eastern Germany. This is an important step for the company that has further growth plans in the coming years.

The new 9.20 m wide PM 3 brings 750,000 tpy of recycled corrugated case material capacity to the market. It will focus on the production of corrugating medium and testliner in base weights ranging from 80 g to 150 g/m².

Progroup's total capacities for recycled containerboard have increased to 1.85 million t thanks to this investment. The total investment sum was put at €465m.

Progroup now operates three containerboard mills in Sandersdorf-Brehna, Burg and Eisenhüttenstadt, all located in Germany. The company also produces corrugated board sheets at nine factories in Germany, France, England, Poland and the Czech Republic.

Within the scope of its "Two Twentyfive" strategy, Progroup has set itself the goal to double in size by 2025 compared to 2015. In addition to the start-up of the new PM 3, the company's plans include the installation of eight new corrugated sheet plants.

Will new capacities ease the supply pressure on the RCP markets?

According to Progroup, the new machine in Sandersdorf-Brehna will consume around 860,000 tpy of recovered paper annually. Recovered paper suppliers in Europe are hoping that the new capacities that are coming on the market will ease somewhat the structural supply pressure. European countries generate more recovered paper than they can consume and especially since China substantially reduced its buying activity in Europe (and will stop it completely by the end of the year), there is a recovered paper supply overhang in many countries.

In the coming weeks, further start-ups of new containerboard capacities are on the cards in Europe. After several problems, which delayed the start-up of Pro-Gest's recycled corrugated case material machine in Mantua, the Italian group wants to finally commence operations in September. Market insiders expect the 405,000 tpy machine to start running towards the end of the month.

Hamburger Rieger's new PM 2 at the Spremberg site is also scheduled to come online in September. The machine will have a capacity of 500,000 tpy of brown and white-top testliner.

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