Demand remains weak and market supply, despite numerous shutdowns over the summer, remains high. Extended maintenance shutdowns and extended holidays in August have only had a limited effect because there has also been generous shutdowns on the converting side, according to reports from Italy. This caused stocks at paper mills to rise accordingly at the end of August and immediately called for further measures. Production at numerous paper mills will therefore continue to be cut back in September, and at some manufacturers individual machines are at a complete standstill.
The fact that manufacturers entered September with increased stocks from August does not necessarily have a positive effect on their negotiating position. EUWID interlocutors repeatedly report special discounts and low prices for larger orders. There are also repeated enquiries about low prices for export volumes to Africa and Asia. In both cases, paper manufacturers affirm that these are offers of opportunity with which the machines are to be better utilised in the short term.