Paper maker Stora Enso has announced its intention to close its PM3 newsprint machine at its Hylte Mill in Sweden by the end of this year.
It also plans to close the deinking plant that processes recycled fibre in the second quarter of 2021 and switch the mill to 100% thermomechanical pulp.
Hylte Mill currently has annual capacity of 480,000 tonnes, but by reducing down just to its PM4 machine, newsprint capacity at the mill will be 235,000 tonnes.
Stora Enso paper division executive vice president Kati ter Horst said: “The decline in the global newsprint demand continues due to changes in consumer behaviour, and it is not expected to recover.
“This has led to global overcapacity, low operating rates, and poor profitability at the Hylte Mill. The planned measures would improve the competitiveness of the mill. Also, Stora Enso has invested in the future of the site to produce formed fibre products and biocomposites.”
As well as the PM4 machine at Hylte that will continue to produce newsprint, the company will also manufacture it at its Langerbrugge and Sachsen mills.