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Kim Poulsen, executive vicepresident of UPM Paper Asia

UPM strengthens Asia-Pacific platform, invests in speciality paper machine

World-leading forest industry company UPM-Kymmene Corporation (UPM) sees attractive profitability and growth fundamentals in Asia-Pacific, making the region one of the geographical areas of focus of its expansion strategy. The UPM Paper Asia strategic business unit was created in late 2013 as part of a reorganisation and to show UPM's long-term commitment to the region.

Supported by:Discovery Reports

World-leading forest industry company UPM-Kymmene Corporation (UPM) sees attractive profitability and growth fundamentals in Asia-Pacific, making the region one of the geographical areas of focus of its expansion strategy. The UPM Paper Asia strategic business unit was created in late 2013 as part of a reorganisation and to show UPM's long-term commitment to the region.

"China is our largest market in Asia-Pacific," says Kim Poulsen, executive vice-president of UPM Paper Asia. "It offers enormous growth opportunities driven by a growing middle class and fast urbanisation, but the market is highly competitive. We have been and will be competitive in the marketplace by offering consistent product and service quality, delivery accuracy, leading environmental performance and exceptional customer experience."

Leveraging the strengths of UPM's global assets and capabilities, UPM Paper Asia is showing an overall positive development trend and to date accounts for 10 per cent of UPM's worldwide sales. UPM Paper Asia operates a large-scale and state-of-the-art paper mill at the Changshu Economic and Technological Development Zone in Jiangsu, with a production capacity of 800,000 tonnes per year. The business - which includes labelling and packaging materials production lines at UPM's Tervasaari and Jamsankoski mills in Finland, with 550,000 tonnes of capacity - caters to the expanding fine and office papers market in Asia and the labelling materials market globally. Also situated within the approximately 200-hectare Changshu site is the UPM Asia research and development centre that develops new products, materials and technologies in co-operation with customers and local institutes.

In February last year, UPM Paper Asia started the installation of Paper Machine 3 (PM3) at the Changshu mill. PM3 is expected to come online by the end of this year and will have an output capacity of up to 360,000 tonnes of uncoated wood-free paper and high-quality label paper. 

"This project is aimed at consolidating our market position and competitive advantage in the labelling material value chain," Poulsen says. "With PM3, we will be able to supply a wider range of locally made release liner materials and speciality products."

After more than 15 years in China, Helsinki-based UPM has successfully localised its operations. In addition to first-class technology and equipment, it has invested in advanced environmental protection technologies and facilities to reduce its environmental footprint. 

In 2005, UPM was bestowed the title State Environmental Friendly Enterprise, the highest environmental protection honour in China. Meanwhile, the UPM Changshu site is the first-ever local paper mill to earn the EU Eco-Management and Audit Scheme registration.

"Sustainability, high ethics and responsible operations remain at the core of UPM, even as we strive to constantly improve our business standing," Poulsen says. 

 

UPM-Kymmene Corporation/UPM Paper Asia
http://www.upmpaper.com
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