Board Converting News, July 12, 2021

Domtar Enters (CONT’D FROM PAGE 1 )

market and look at how needs are being met and the un- met needs of independent converters.” Domtar has leveraged their customer relationships to identify a compelling value proposition with the indepen- dent converters. Domtar will not own or operate compet- ing box plants. They found that independent converters were looking for long term competitive suppliers that they can rely on to truly be their partner and an extension of their business.

Multiple Mill Conversions In 2018, the company launched its asset conversion roadmap, which identified four of Domtar’s 13 pulp and paper mills, including Kingsport, that could be converted to containerboard over time. Other mills that were chosen for possible conversion, in addition to the Kingsport Mill, include Ashdown, AR; Marlboro, SC; and Hawesville, KY.

The Domtar management team and state and local officials participated in a cermonial groundbreaking in Kingsport, Tennessee.

“We didn’t view it as a sprint necessarily, but more of a 10-year roadmap, showing the potential of a 2.5-mil- lion-ton containerboard system at the end of the journey,” said Henry. “Our decision was driven by the fact that you cannot just convert an asset and hope that the market is there. We really took the time to study the containerboard

“Global and local customers are looking for sustainable packaging solutions. The global customers know they can get different packaging solutions from Europe and else- where, and have expressed frustration that they can’t al- ways get those options here in North America,” said Henry.

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July 12, 2021

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