RDM Group has announced its decision to close the Castellbisbal mill in Spain due to challenging market conditions.
The decision comes as a result of shifting consumption patterns, inflationary pressures, and geopolitical instability, including the impact of the Russia-Ukraine conflict.
Between 2021 and 2023, European cartonboard demand dropped significantly, leading to stockpiles and low mill utilization rates. The Iberian market has been particularly affected, with sharply declining demand putting additional strain on the Castellbisbal mill.
Despite the closure, RDM Group will continue operations in Iberia through its Paprinsa mill in Mollerussa. With greater flexibility and adaptability to market dynamics, Paprinsa will help maintain competitiveness. The company also plans to meet demand for special products through other mills within its network.
This decision underscores the challenges facing the European cartonboard industry, as RDM Group adapts to evolving market dynamics while seeking to sustain its presence in the region.
RDM Group is a leading European producer of recycled cartonboard and virgin fiber-based board. With a commitment to sustainability and innovation, the Group operates a network of mills across Europe, delivering high-quality, eco-friendly packaging solutions to customers worldwide. For more information, visit rdmgroup.com.