IP announces plant closures in Germany following merger with DS Smith

The closures will affect a conventional corrugated packaging plant, a display and offset site, and three sheet plants. In addition, a partial closure of another display site is planned.

A total of around 500 jobs could be affected by the measures. The closures are subject to ongoing consultation with employee representatives and are expected to be implemented by the end of 2026.

Strategic review following merger with DS Smith
The proposals are the result of a strategic review of activities in Central Europe and are part of International Paper's transformation process to become a stronger and more sustainable provider of packaging solutions.

The move follows the share merger with DS Smith, which was completed on January 31, 2025, creating one of the largest global manufacturers of fiber-based packaging.

Company responds to challenging market conditions
Reinier Schlatmann, Managing Director for Central EMEA Packaging at DS Smith, commented: "The proposals we have put forward aim to respond to challenging market conditions and accelerate profitable growth by focusing on where our customers need it most. We are transforming our business into an even stronger and more sustainable packaging solutions provider, capable of meeting the changing needs of some of the world's largest brands and continuing to grow with them. A proposal of this nature is, of course, a difficult process, but we believe we can create value for our customers and shareholders and ensure that our internal processes remain as efficient as possible going forward."

In the third quarter, IP's Packaging Solutions EMEA business unit posted an operating loss. The division's performance fell short of expectations, IP CEO Andrew Silvernail explained.