Nippon Paper Industries has announced a reorganization of its production system in response to the declining demand for graphic paper.
The company will shut down certain machines at its Shiraoi and Yatsushiro mills and will launch a household paper business at the Yatsushiro Mill, primarily targeting exports.
At the Shiraoi Mill, the No.8 paper machine, which produces fine paper, will cease operations by the end of September 2025. The remaining facilities will focus on expanding products beyond graphic paper. The Yatsushiro Mill will shut down its N2 paper machine, which manufactures newsprint, by the end of June 2025. Additionally, the No.9 coal-fired boiler will be closed to reduce greenhouse gas emissions, eliminating coal usage at the mill. The household paper business is expected to begin in 2027.
Nippon Paper aims to consolidate production sites, improve productivity, and expand into growth areas such as the Daily-Life Products Business. The company assures that employees affected by the shutdowns will continue to be employed within their respective mills and commits to minimizing inconvenience to customers and stakeholders.
