Supply-side tightness compels coated paper buyers to accept October price hikes despite weak demand

摘要

Coated mechanical papermakers can feel the wind at their backs for the $60/ton price increase they began implementing Oct. 1 because buyers are finding themselves with limited supply options during seasonal market tightness. Although peak season demand remains lackluster at 7.7% below last September's level, combined 2011/2012 closures of over 560,000 tons of capacity representing about 16% of overall US capacity pushed North American mill operating rates to 103% last month, according to the Pulp and Paper Products Council.