Hansol Paper reported a third-quarter 2026 consolidated operating loss of USD 10.3m (KRW 13.7bn) on revenue of USD 393.6m (KRW 525.5bn), up 2.5% year on year. It cited higher raw material and freight costs and a stronger won. The loss more than doubled from USD 4.8m (KRW 6.4bn) a year earlier and follows a second-quarter operating profit of USD 34.2m (KRW 45.7bn). Nine-month operating profit still rose 61.2% to USD 36.4m (KRW 48.6bn).
Why this mattersInput, freight and currency pressure turned a profitable second quarter into a loss, showing how thin margins remain for Korean paper producers.
- Q3 2026 operating loss was USD 10.3m (KRW 13.7bn), against a loss of USD 4.8m (KRW 6.4bn) a year earlier
- Q2 2026 operating profit was USD 34.2m (KRW 45.7bn); Q3 revenue fell 7.8% quarter on quarter
- Q3 revenue was USD 393.6m (KRW 525.5bn), up 2.5% year on year
- Q3 pre-tax loss was USD 16.9m (KRW 22.5bn) and net loss USD 13.0m (KRW 17.4bn), both wider than a year earlier
- Nine-month operating profit rose 61.2% to USD 36.4m (KRW 48.6bn) on revenue of USD 1,218.8m (KRW 1.6271tn), up 1.3%
- The company cited higher raw material and freight costs and a lower exchange rate
- Loss per share for the quarter ended 30 September 2026 was KRW 544.69, against a loss of KRW 382 a year earlier.
- Heungkuk Securities cut its FY2026 operating profit forecast for Hansol Paper from KRW 123bn to KRW 69bn after the Q3 results
- Eugene Investment & Securities cut its FY2026 operating profit forecast by about 40%, from KRW 114.6bn to KRW 68.2bn
- Shanghai Containerized Freight Index reached 3,687.35 in late October, nearly three times its level of 1,333.11 on 27 February
- Korea's Fair Trade Commission's finding of price-fixing among paper makers has deepened conflict with the publishing industry, constraining Hansol Paper's ability to raise prices
The US Department of Commerce has set a preliminary dumping margin of 1.69% for Hansol Paper in its administrative review of thermal paper from South Korea for 1 November 2024 to 31 October 2025, published in the Federal Register on 19 October 2026. The review was rescinded for 16 other companies after petitioners Domtar and Appvion withdrew their requests, and the all-others cash deposit rate stays at 6.19%. Deposits change only with the final results; case briefs are due by 9 November 2026.
Why this mattersIf confirmed, the 1.69% margin would set Hansol's duty liability on US thermal paper entries for the period, well below the 6.19% all-others deposit rate.
- Preliminary constructed-export-price margin for Hansol Paper Company set at 1.69%, published in the 19 October 2026 Federal Register (91 FR 66104-66106).
- All-others cash deposit rate remains unchanged at 6.19% pending final results.
- Review period covers 1 November 2024 to 31 October 2025 under antidumping order A-580-911 (thermal paper from Germany, Japan, Korea and Spain, originally imposed November 2021).
- Review partially rescinded for 16 companies, including Sailing Paper and Kooka Paper Manufacturing, after petitioners Domtar and Appvion withdrew requests on 27 April 2026.
- Case briefs are due by 9 November 2026, hearing requests by 18 November 2026, and rescission instructions no earlier than 23 November 2026.
- Cash deposit rates will only change once Commerce issues final results; if the final margin is de minimis (below 0.50%), entries liquidate without antidumping duty.
Hansol Paper has been selected for a South Korean government-backed AI factory programme aimed at cutting steam and energy use in papermaking, part of a seven-party consortium running to 2029 with total investment of KRW 12.2bn (USD 9.16m), including KRW 8.5bn (USD 6.4m) in state funding. The project will develop AI tools for steam optimisation, predictive maintenance and safety management, with the aim of an autonomous plant and a standard model extendable to smaller suppliers.
Why this mattersThe project targets steam-intensive drying, one of papermaking's largest cost and carbon items, and is built to share results with smaller suppliers lacking their own investment capacity.
- Hansol Paper was selected for a papermaking AI factory programme linking large and smaller companies, run by South Korea's Ministry of Trade and Industry
- The project runs for about four years to 2029 with total investment of KRW 12.2bn (USD 9.16m), including KRW 8.5bn (USD 6.4m) in government funding
- Seven organisations are involved: two end-user companies, three AI specialist firms and two research institutes
- The project targets incinerator steam optimisation, lower steam use in paper drying, predictive maintenance and an AI safety-management model
- The stated goal is an autonomous plant where AI recommends operating conditions, putting data behind decisions that relied on veteran operators' experience
- Hansol Paper plans to turn the results into a standard model for smaller suppliers and similar manufacturing sectors
Hansol Paper signed an investment agreement with the Daejeon city government on 14 October 2026 to expand its existing paper mill in the city, adding production equipment for new materials. The agreement, co-signed with two other companies in the same investment programme, covers total planned investment of KRW 73.45bn (USD 55.1m) and is expected to create 104 jobs. Hansol Paper is developing nanocellulose-based sustainable materials for cosmetics and secondary batteries, and the new capacity will support scale-up of that production.
Why this mattersThe expansion extends Hansol Paper's push from paper into higher-value nanocellulose materials, broadening its revenue base beyond traditional graphic and speciality paper.
- Agreement signed 14 October 2026 between Hansol Paper and the Daejeon city government.
- Plan expands Hansol Paper's existing Daejeon factory with new mass-production equipment for eco-friendly new materials.
- Three companies in the programme (Hansol Paper, Axvis, Pami) plan combined investment of KRW 73.45bn (USD 55.1m).
- Programme expected to create 104 jobs across Daedeok and Yuseong districts of Daejeon.
- Hansol Paper is developing nanocellulose-based materials for cosmetics and secondary-battery applications.
- Daejeon city government will provide administrative and financial support to the participating companies.
A coalition of South Korean publishers is organising a joint damages lawsuit against the six printing paper makers found by the Korea Fair Trade Commission to have fixed prices between February 2021 and December 2024. The KFTC set fines at KRW 338.325bn (USD 253.8m) in April, then cut the final amount to KRW 144.1bn (USD 108.1m) after leniency applications. The coalition will recruit claimants from 13 October to 15 November and file in December, putting publishers' losses at more than KRW 400bn (USD 300m).
Why this mattersCustomer-led damages claims add a second front of financial exposure for the cartel members beyond the regulatory fines and reset orders already under appeal.
- Publishing-industry coalition recruits claimants from 13 October to 15 November 2026 and plans to file a joint damages claim in December
- Publishing sector puts its own losses from the collusion at more than KRW 400bn (USD 300m)
- KFTC imposed fines of KRW 338.325bn (USD 253.8m) in April, reduced to a final KRW 144.1bn (USD 108.1m) under the leniency programme
- Hansol Paper, Moorim P&P, Moorim Paper, Moorim SP, Korea Paper and Hongwon Paper account for about 95% of domestic printing paper sales and held at least 60 meetings between February 2021 and December 2024, agreeing seven price increases
- Average printing paper prices rose about 71%, from KRW 841,000 to KRW 1,439,000 per tonne (USD 631 to USD 1,080), on sales of about KRW 4.03 trillion (USD 3.02bn)
- Seoul High Court suspended the price-reset orders for four of the six companies pending the main proceedings; Korea Paper and Hongwon Paper were referred to prosecutors
- Printing associations representing about 20,000 small operators and 68,000 workers say cumulative damages from the price-fixing exceed KRW 520bn (USD 392.5m)
- A court has granted a stay on the order requiring the six paper makers to re-set prices
- Printing-paper prices remain about 34 percent above 2020 levels, printers say
- Printers are demanding a joint compensation fund from the paper makers plus government damage assessments, policy financing and tax relief
South Korea's Ministry of Climate, Energy and Environment began a voluntary separate-discharge scheme for paper packs such as milk cartons from October 2026 across 144,000 apartment complexes subject to mandatory waste management, ahead of a compulsory separation rule planned for next year. A cooperation agreement signed 21 September 2026 commits dairy producers, recyclers including Hansol Paper and Ssangyong C&B, and pack manufacturers to share recovery, sorting and recycling costs and improve pack recyclability. South Korea's paper pack recovery rate had fallen to 13% in 2023 from 19.9% in 2019.
Why this mattersA cost-sharing recycling scheme could improve feedstock quality for paper-pack recyclers and may foreshadow wider producer-responsibility rules in Korean packaging.
- Voluntary separate discharge of paper packs began October 2026 across 144,000 mandatory-management apartment complexes in South Korea.
- Mandatory separation of paper packs is planned for apartments from next year.
- Cooperation agreement signed 21 September 2026 between the environment ministry, dairy producers Seoul Milk and Maeil Dairy, recyclers Hansol Paper and Ssangyong C&B, pack manufacturers and the Korea Packaging Recycling Business Mutual Aid Association.
- Signatories share recovery, sorting and recycling costs, while manufacturers are to develop more easily recyclable pack designs.
- South Korea's paper pack recovery and recycling rate fell from 19.9% in 2019 to 13% in 2023.
- A guideline change removes the prior exception allowing disposal in paper bins where no dedicated collection box exists.
- Mandatory separate collection of paper cartons at the regulated apartment complexes takes effect 1 January 2027.
- The 21 September 2026 agreement was signed at Hansol Paper's Daejeon plant.
- Carton makers SIG Combibloc Korea and Tetra Pak committed to redesigning packs for recyclability and upgrading optical-sorting facilities.
South Korea's Fair Trade Commission fined six printing paper makers, including Hansol Paper, a combined KRW 3.009bn (USD 2.23m) in September 2026 for rigging a tender run by newspaper publisher Nongmin Shinmun, and referred Hansol Paper and Korea Paper Co to prosecutors. The case is separate from the six companies' April 2026 sanction for broader price-fixing. The Korea Printing Cooperative Federation estimates cumulative cartel damage to printers at KRW 525.5bn (USD 389.8m) and is lobbying for a compensation fund.
Why this mattersA criminal referral adds legal exposure beyond the April price-fixing fines and could accelerate printers' push for compensation and alternative suppliers.
- Korea Fair Trade Commission fined six printing paper makers a combined KRW 3.009bn (USD 2.23m) in September 2026 over bid-rigging on a Nongmin Shinmun tender.
- Hansol Paper and Korea Paper Co were referred to prosecutors over the bid-rigging, a separate matter from the April 2026 price-fixing sanction on the same six firms.
- Korea Printing Cooperative Federation estimates cumulative cartel damage to the printing industry at KRW 525.5bn (USD 389.8m), averaging KRW 93.6m (USD 69,400) per affected company.
- The federation held a forum at the National Assembly on 2 October 2026 seeking a damage-relief fund and expanded policy financing for printers.
Moorim Paper's consolidated H1 2026 revenue rose 4.16% to USD 476m (KRW 645.0bn) and operating profit rose 88.59% to USD 20.7m (KRW 28.1bn), but the group swung to a net loss of USD 48.6m (KRW 65.9bn) after booking an antitrust fine. South Korea's Fair Trade Commission in April fined six printing-paper producers a combined USD 249.7m (KRW 338.3bn) for coordinating prices and ordered them to reset prices independently; subsidiary Moorim P&P was fined USD 42.4m (KRW 57.5bn), more than double the USD 21.1m (KRW 28.6bn) imposed on Moorim Paper. The three Moorim companies have asked the courts to suspend enforcement, and the stay of the re-pricing order has been granted.
Why this mattersA large sector-wide antitrust fine and a falling pulp price squeeze show how regulatory and raw-material risk can outweigh operating gains at vertically integrated paper producers.
- H1 2026 consolidated revenue rose 4.16% to USD 476m (KRW 645.0bn); operating profit rose 88.59% to USD 20.7m (KRW 28.1bn).
- Net result swung to a loss of USD 48.6m (KRW 65.9bn) from a USD 2.5m (KRW 3.4bn) profit a year earlier after the fine was booked.
- Korea's Fair Trade Commission fined six printing-paper producers a combined USD 249.7m (KRW 338.3bn) in April and ordered independent re-pricing.
- Moorim P&P was fined USD 42.4m (KRW 57.5bn), more than double the USD 21.1m (KRW 28.6bn) imposed on Moorim Paper.
- Moorim P&P's H1 revenue rose 15.44% to USD 290.8m (KRW 394.0bn), while its operating loss widened to USD 8.0m (KRW 10.8bn) from USD 7.6m (KRW 10.3bn).
- US southern hardwood kraft pulp averaged USD 735 per tonne this month, down from USD 780 in June.
Hansol Paper will roll back discount rates on white paper, MFC, art paper and lightweight paper from 28 September 2026, effectively raising supply prices to offset pulp and energy costs. The move follows an April 2026 Korea Fair Trade Commission ruling that Hansol and five other paper makers colluded on printing paper price increases; Hansol's fine was set at USD 104m (KRW 142.58bn) before leniency reductions cut the six companies' combined penalty to USD 106m (KRW 144.1bn).
Why this mattersDiscount rollbacks from 28 September lift Korean printing paper prices while Hansol carries a cartel fine and borrowings above USD 601m (KRW 820bn).
- Hansol Paper will adjust discount rates on white paper, MFC, art paper and lightweight paper from 28 September 2026, effectively raising supply prices.
- The KFTC ruled in April 2026 that Hansol Paper and five other paper makers had agreed printing paper price increases over about three years and ten months.
- The original combined fine for the six companies was USD 248m (KRW 338.3bn), with Hansol Paper's share set at USD 104m (KRW 142.58bn).
- After leniency applications, the six companies' combined fine was reduced to USD 106m (KRW 144.1bn).
- Second-quarter 2026 operating profit was USD 37m (KRW 50.8bn) against USD 14m (KRW 19.3bn) a year earlier; first-half revenue rose 1.0% and operating profit 56.4%.
- First-quarter 2026 total borrowings exceeded USD 601m (KRW 820bn), with negative operating cash flow.
- Hansol Paper and Korea Paper Co notified printers of further price increases of up to 13% beyond the discount rollback
- Korea Federation of Printing Cooperatives and 11 regional cooperatives issued a joint statement against the increases on 27 September 2026
- Chinese hardwood pulp, which accounts for about 40-50% of printing paper production cost, rose about 13% from USD 510 per tonne in September 2025 to USD 576 per tonne on 21 September 2026
- Hansol Paper and Korea Paper notified clients of printing-paper price increases of up to 13% in September 2026, on top of the July-August discount cuts
- The printing industry has demanded a rollback of the September price increases
- The Fair Trade Commission ordered the six fined companies to independently reset printing-paper prices to pre-collusion competitive levels
- The Fair Trade Commission separately sanctioned Hansol Paper and Korea Paper for bid-rigging in a tender run by newspaper Nongmin Shinmun
- Korea Paper Co has separately notified customers of price increases on standard printing paper and its premium Arte grade.
- South Korea's Ministry of Trade, Industry and Energy reported international bleached hardwood kraft pulp (SBHK) prices reached USD 780 per tonne, accounting for 40-50% of printing paper production cost.
- An industry source said the printing paper segment posted losses of hundreds of hundred-million-won in the first half of the year.
- Printing and publishing trade groups are demanding the price increases be withdrawn and a mutual-support fund set up instead.
South Korea's Ministry of Climate Energy and Environment will require large apartment complexes to sort paper cartons such as milk packs separately from regular waste starting 1 January 2027. A voluntary pilot covering roughly 144,000 complexes of 300 or more households begins next month, backed by a memorandum of understanding signed on 21 September 2026 with carton producers Tetra Pak, SIG Combibloc Korea, Hansol Paper and Ssangyong C&B, dairy groups Seoul Milk and Maeil Dairy, and industry recycling bodies. Signatories will share collection and sorting costs, fund optical sorting equipment and commit to design changes to improve recyclability.
Why this mattersA binding sorting mandate and cost-sharing scheme could raise recycling rates and recycled pulp supply, pressuring carton makers to redesign for recyclability ahead of similar EPR moves elsewhere.
- South Korea's Ministry of Climate Energy and Environment will make separate disposal of paper cartons mandatory in large apartment complexes from 1 January 2027
- A voluntary pilot begins next month (October 2026) across about 144,000 apartment complexes with 300 or more households
- The ministry signed an MOU on 21 September 2026 at the Hansol Paper Daejeon plant with Seoul Milk, Maeil Dairy, Hansol Paper, Ssangyong C&B, SIG Combibloc Korea, Tetra Pak and industry bodies
- Producers including Seoul Milk and Maeil Dairy will share collection, sorting and recycling costs and increase purchases of recycled paper products
- Signatories will fund optical sorting machine installations and design-stage recyclability improvements
- Hansol Paper already operates carton-recycling equipment at its Daejeon plant, producing recycled pulp for paperboard and other paper products
- Cartons are currently often mixed with general waste paper or discarded in volume-based waste bags, limiting recycling rates
- Paper pack manufacturers will fund technology to improve recyclability from the design stage and advance optical sorting systems
- Recycling industry partners will select high-quality paper packs and produce recycled paper products
- Korea Packaging Recycling Business Mutual Aid Association and the Korea Circulation Resource Distribution Support Center will provide public relations, performance tracking and recycling subsidies
- Hansol Paper's own announcement dates the signing to 22 September 2026 at its Daejeon plant.
- Recovered cartons under the pact will be converted at Daejeon into recycled pulp and paper products including whiteboard paperboard.
- Daejeon plant is described as Korea's largest whiteboard (paperboard) production base
- Collected cartons will be converted into recycled pulp for whiteboard and other paper product feedstock
- Additional signatories named: Paper Carton Recycling Council, Korea Packaging Recycling Business Cooperative and Korea Resource Circulation Service Support Center
- Tetra Pak runs separate pilot carton-collection schemes with several Korean cities and districts, plus IoT collection bins in supermarkets.
- Tetra Pak separately runs carton separation pilots with local municipalities in South Korea
- Tetra Pak has installed IoT aseptic carton collection units in South Korean supermarkets
The Seoul High Court has suspended enforcement of the Korea Fair Trade Commission's order that six Korean printing-paper makers reset their prices independently, granting stays to four of them: Moorim SP, Moorim Paper, Moorim P&P and Korea Paper. The stays run until 30 days after the first-instance judgment in the companies' main lawsuits. The KFTC fined the six a combined KRW 338.3bn (USD 250m) in April 2026 over alleged coordinated price rises and discount cuts between February 2021 and December 2024, and says it will appeal.
Why this mattersA stayed price-reset order lets affected mills keep current pricing pending litigation, reducing near-term uncertainty over Korean printing-paper pricing.
- Seoul High Court granted execution stays to Moorim SP, Moorim Paper and Moorim P&P on 28 August 2026; Korea Paper's application was granted separately
- The stays run until 30 days after the first-instance ruling in the main proceedings
- Four of the six sanctioned paper companies have now had the price re-determination order suspended
- The KFTC's April 2026 decision fined Moorim SP, Moorim Paper, Moorim P&P, Korea Paper, Hansol Paper and Hongwon Paper a combined KRW 338.3bn (USD 250m), alleging more than 60 meetings between February 2021 and December 2024
- The price re-determination order was only the second in KFTC history, after the April 2006 flour-cartel case
- The KFTC said it will appeal the stay rulings and defend the legality of its order in the main proceedings
- The suspension, previously confirmed for Moorim SP, Moorim Paper, Moorim P&P and Korea Paper, is now also reported to cover Hansol Paper and Hongwon Paper, the remaining two of the six companies fined by the KFTC
- A National Assembly forum in Seoul on 2 October 2026 heard that the printing paper cartel cost the average printing firm KRW 93.6m (USD 68,800) over nearly four years.
- Cumulative losses across Korea's printing industry were estimated at KRW 525.5bn (USD 389.9m), separate from the KRW 338.3bn (USD 251.0m) KFTC fine.
- The Korea Printing Cooperative Federation submitted a petition signed by 5,005 printers seeking a victim-compensation fund and class-action mechanism.
- The KFTC reduced the total April 2026 fine from KRW 338.3bn to KRW 143.9bn (USD 107.3m) in June 2026 after partial appeals.
- Hansol Paper's KRW 142.6bn (USD 106.3m) fine was waived in full.
- Moorim P&P's fine was cut from KRW 91.9bn to KRW 57.4bn (USD 42.8m) and Moorim Paper's from KRW 45.8bn to KRW 28.6bn (USD 21.3m).
- Korea Paper Co (KRW 49.0bn/USD 36.5m) and Hongwon Paper (KRW 8.5bn/USD 6.3m) are pursuing administrative appeals at the Seoul High Court.
- Combined KFTC fines on six printing paper makers were reduced from KRW 338.3bn to KRW 143.9bn in June 2026 after partial relief
- Hansol Paper's original KRW 142.6bn fine was fully exempted
- Moorim P&P's fine was cut from KRW 91.9bn to KRW 57.4bn
- Moorim Paper's fine was cut from KRW 45.8bn to KRW 28.6bn
- Hansol Paper's KRW 142.58bn (USD 107.0m) fine in the April 2026 printing-paper cartel case was fully waived under the KFTC's leniency programme.
- A Moorim affiliate had its fine in the same case cut by KRW 51.7bn (USD 38.8m).
- After leniency reductions, the combined fine on the six printing-paper makers fell to KRW 144.1bn (USD 108.1m) from the original KRW 338.3bn (USD 253.8m).
- KFTC chairman Joo Byung-gi told the 12 October audit that the regulator has drafted legislation to curb leniency abuse and will pursue compensation for victims.
