Mercer International has deferred an interest payment of about USD 25.8m due 1 October 2026 on its 12.875% Senior Notes due 2028, invoking a 30-day grace period under the indenture. The pulp and lumber producer is in advanced talks with an ad hoc group holding more than 75% of the outstanding principal of both the 2028 notes and its 5.125% Senior Notes due 2029 on a comprehensive recapitalisation to cut funded debt and interest expense. Mercer says no definitive agreement has been reached and operations continue as normal.
Why this mattersA deferred coupon and talks with holders of more than 75% of two bond issues point to a balance-sheet restructuring at a significant market pulp supplier.
- Mercer deferred approximately USD 25.8m of interest due 1 October 2026 on its 12.875% Senior Notes maturing 2028.
- The company is using a 30-day grace period under the indenture and says this does not constitute an event of default.
- An ad hoc group holds more than 75% of the aggregate outstanding principal of the 2028 notes and the 5.125% Senior Notes due 2029.
- Talks aim at a recapitalisation to reduce funded debt and interest expense, address maturities and improve liquidity.
- A special committee of independent directors is leading the talks; the 8-K was signed by CFO Richard Short.
- Mercer says its pulp, lumber and mass timber operations continue normally, with customers, suppliers and employees served and paid as usual.
U.S. Paper Mill LLC, a subsidiary of U.S. Medical Gloves Company that bought the Chillicothe, Ohio mill from Pixelle Specialty Solutions in October 2025, is reviving the site's number 12 paper machine, idle since the mill closed in August 2025. Thirteen staff are working on the machine, which is due to be fully operational and making paper by December 2026. The owner is in talks with several companies on paper manufacturing and estimates up to 350 paper-operations jobs could be added within a year.
Why this mattersA machine restart returns speciality paper capacity to southern Ohio a year after closure, with up to 350 paper jobs planned, against a wider pattern of North American closures.
- U.S. Paper Mill LLC acquired the Chillicothe, Ohio mill from Pixelle Specialty Solutions in October 2025.
- The mill had closed in August 2025.
- Thirteen current employees are assigned to restart the number 12 paper machine, known as "The Chief".
- The machine is expected to be fully operational and making paper by December 2026.
- More than 180 employees currently work on-site across diverse sectors since the acquisition.
- The owner estimates as many as 350 new employees could be added for paper operations within the next year.
Colombian food group Grupo Nutresa has acquired 100% of Empaques Industriales de Colombia, a Bogota-based manufacturer of corrugated cardboard packaging and related supplies. The company said completion remains subject to customary closing conditions. The deal follows Nutresa's recent additions of the Helados Tio Rico brand in Venezuela and the Mimo's ice cream chain.
Why this mattersVertical integration by a Colombian food group takes corrugated volume in-house and removes a supplier from the regional merchant market.
- Grupo Nutresa acquired 100% of Empaques Industriales de Colombia.
- The target makes corrugated cardboard packaging and related supplies, based in Bogota.
- Closing remains subject to customary conditions.
- Nutresa is controlled by Jaime Gilinski's Grupo Gilinski following the breakup of the GEA conglomerate.
- Nutresa recently added the Helados Tio Rico brand in Venezuela and acquired the Mimo's ice cream chain.
Australian paper sacks maker Pope Packaging has completed the largest single investment project in its 70-year history, doubling printing capacity and lifting converting capacity by 50 per cent at its South Australian facility. The upgrade, built around new Windmoller & Holscher technology including a Miraflex II eight-colour press, brings production and warehousing onto one site and adds new paper sack product capabilities for the Australian and New Zealand market.
Why this mattersOnshore capacity expansion reduces Australian and New Zealand customers' reliance on imported paper sacks and shortens regional lead times.
- Converting capacity increased by 50 per cent at the South Australian plant
- Printing capacity doubled with new W&H Miraflex II eight-colour press
- New press can print more than 1000 bags a minute
- Project described as the largest single investment in Pope Packaging's 70-year history
- Expansion adds digital pasting, inner patch capability and new warehousing on one site
- W&H's RUBY system added for round-the-clock production monitoring
Walter Verpackungen, a German manufacturer of packaging for chocolate, pralines and macarons operating since 1914, has filed for preliminary insolvency and is seeking a new investor. Interim administrator Alexander Eggen of Schultze & Braun says operations continue without interruption while mentor AG runs a structured investor search. The company attributes its liquidity gap to the partial loss of customers that followed an earlier insolvency, out of which it was bought in mid-2025.
Why this mattersA converter bought out of insolvency in mid-2025 is back in proceedings, showing how customer attrition after a restructuring exhausts the liquidity of small confectionery packaging specialists.
- Walter Verpackungen, based in Offenbach am Main, has entered preliminary insolvency proceedings.
- Alexander Eggen of law firm Schultze & Braun's Frankfurt office was appointed interim insolvency administrator.
- mentor AG is supporting a structured investor search; talks with potential investors are already under way.
- The company employs around 25 staff, whose wages are secured via the insolvency fund until the end of October 2026.
- Walter Verpackungen supplies about 800 active customers, mainly in the DACH region, with cardboard, paper and plastic confectionery packaging.
- It was bought out of an earlier insolvency in mid-2025; the partial loss of customers that followed cut sales and opened a liquidity gap despite restructuring measures.
Domtar and the British Columbia government reached an agreement in principle on 1 October 2026 that positions the idled Howe Sound pulp mill to reopen, with a restart expected in mid-October 2026. The reopening depends on ratification of a new collective agreement by Unifor Local 1119 members, with a vote expected the following week.
Why this mattersA restart would partly offset capacity losses in British Columbia pulp, including Canfor's Northwood closure, which removes more than 240 jobs this autumn.
- Agreement in principle between the British Columbia government and Domtar reached on 1 October 2026, according to Unifor.
- The Howe Sound mill is expected to reopen in mid-October 2026.
- The restart is contingent on ratification of a new collective agreement by Unifor Local 1119 members, with a vote expected the following week.
- Canfor's Northwood pulp mill in Prince George is scheduled to close this autumn, affecting more than 240 Unifor Local 603 members.
Knack Packaging has signed a three-year agreement with a US-based animal nutrition and feed group to supply PLWPP and pinch-bottom bags, valued at approximately USD 15.6m (INR 150 crore) a year. The contract covers 60 million bags annually and runs to December 2028, combining a new order with the renewal of an existing relationship.
Why this mattersA multi-year US export contract gives the Indian converter three years of volume visibility at 60 million bags a year and confirms its woven-bag output meets feed-sector requirements abroad.
- Contract value approximately USD 15.6m (INR 150 crore) per year.
- Covers 60 million bags annually.
- Three-year term running to December 2028.
- Products supplied are PLWPP bags and pinch-bottom bags.
- The customer is a US-based animal nutrition and feed company.
- The deal combines a new order and the renewal of an existing relationship, on an arm's length basis.
German industrial group Possehl has acquired the remaining 49% stake in Manroland Goss from American Industrial Partners, becoming sole owner with effect from 1 October 2026. Possehl previously held 51% of the rotary offset press manufacturer, which employs about 1,000 people worldwide and serves the packaging, book, commercial printing and newspaper industries. Possehl said it will invest in new presses, product development, spare parts, service and retrofits for the installed base, with no immediate changes to customer contracts or terms.
Why this mattersFull ownership gives Possehl a freer hand to fund long-term investment in press technology and after-sales support, removing a private-equity co-owner's influence on strategy.
- Possehl acquired the remaining 49% of Manroland Goss from American Industrial Partners, effective 1 October 2026.
- Possehl previously held 51% of the company.
- American Industrial Partners fully exits its stake in the group.
- Manroland Goss employs approximately 1,000 people worldwide.
- Possehl, founded in Lübeck in 1847 and owned by the nonprofit Possehl Foundation, comprises more than 200 entities in about 30 countries with roughly 13,000 employees.
- Possehl's most recent reported consolidated revenue totalled EUR 8.4bn.
Spanish bagging machinery maker PAYPER is building an 8,800 m2 extension at its Bell-lloc d'Urgell headquarters in Lleida, with an investment of EUR 6m (USD 6.7m), taking total production floor space above 18,000 m2. The company also introduced a bottom-up filling system designed to reduce dust generation when bagging fine powdered products.
Why this mattersThe expansion signals rising international demand for bulk-solids bagging equipment, a niche machinery segment serving agrifood, chemicals, feed and construction customers.
- EUR 6m (USD 6.7m) investment in a new industrial building
- New building measures 8,800 square metres
- Total production area will exceed 18,000 square metres once complete
- Facility is at Bell-lloc d'Urgell, Lleida, Spain
- New bottom-up filling system lowers product fall height to cut dust and improve stability for powdered materials
- PAYPER was founded in 1973 and has completed over 5,000 projects in more than 80 countries
Antalis, part of Japan's Kokusai Pulp & Paper Group, has signed a binding agreement to acquire Papyrus' paper distribution operations in Germany, Switzerland and eight Central and Eastern European countries. The businesses generated combined net sales of around EUR 215m in 2025 and employ 255 people; completion is subject to customary conditions and antitrust clearance.
Why this mattersThe deal consolidates paper and packaging distribution across Central and Eastern Europe, reducing the number of independent merchants serving printers and office-paper customers in the region.
- Antalis and Papyrus have signed a binding agreement covering operations in Germany, Switzerland, Czech Republic, Slovakia, Hungary, Poland, Romania, Estonia, Latvia and Lithuania.
- The acquired businesses generated combined net sales of around EUR 215m in 2025 and employ 255 people.
- Combined operations will serve more than 13,000 customers and offer around 21,000 products across 12 warehouse locations.
- Completion requires customary closing conditions and approval by European competition authorities.
- Antalis's parent Kokusai Pulp & Paper Group generates annual sales of around EUR 4.1bn and employs about 4,300 people in 34 countries.
- Papyrus's parent Optigroup generated net sales of EUR 1.42bn in 2025; Papyrus and Scaldia operations in the Benelux, Sweden, Denmark, Norway and Finland are excluded from the deal.
Nespresso is withdrawing its compostable paper coffee capsules, confirming the decision on 30 September 2026 after customer complaints about limited shelf life and overall product experience. The Nestle subsidiary launched the format in 2023 after three years of development and trials in 14 European markets, and will now concentrate on aluminium, which it says protects coffee for up to one year versus four weeks for the paper version.
Why this mattersA major brand owner's retreat from compostable packaging to aluminium tests assumptions that fibre-based formats are a straightforward substitute for metal.
- Nespresso confirmed the paper capsule withdrawal to AWP news agency on 30 September 2026.
- The paper capsules, 82% paper by composition, launched in 2023 after three years of development and were tested in 14 European markets.
- Nespresso recommended using opened paper capsule packs within four weeks, versus up to one year of protection claimed for aluminium capsules.
- Nespresso's cited life-cycle analysis shows 79 grams CO2e per espresso for paper versus 81 grams for aluminium.
- Swiss boutiques are expected to sell remaining paper capsule stock for about one month, depending on inventory.
- Switzerland recycles 73% of Nespresso capsules according to the company, which plans to invest further in aluminium recycling and collection.
The US Department of Commerce has preliminarily found a 3.95 per cent weighted-average dumping margin for Nan Ya Plastics on polyethylene terephthalate film, sheet and strip from Taiwan for the review period 1 July 2024 to 30 June 2025. Commerce also intends to rescind the review in part for Shinkong Materials Technology and Shinkong Synthetic Fiber, treated as a single entity, after finding no reviewable entries in the period. Interested parties have seven calendar days from the 2 October 2026 publication date to comment.
Why this mattersContinuing antidumping exposure on Taiwanese PET film keeps sourcing costs uncertain for US converters of flexible packaging and labels.
- Preliminary weighted-average dumping margin for Nan Ya Plastics Corporation: 3.95 per cent.
- Period of review runs from 1 July 2024 to 30 June 2025.
- Commerce intends to rescind the review for Shinkong Materials Technology/Shinkong Synthetic Fiber after CBP data showed no shipments during the period.
- The preliminary results are applicable from 2 October 2026, the Federal Register publication date.
- Comments from interested parties are due seven calendar days after publication, with rebuttals seven days thereafter.
- Commerce extended the preliminary results deadline by 113 days, to 30 September 2026, after shutdown-related tolling of 47 and 21 days.
Waste intelligence firm Greyparrot estimates that more than USD 1 billion worth of aluminium cans are sent to landfill in the United States each year, with around 11 million MWh of energy wasted in the process. The company puts the 2023 US can recycling rate at about 43 percent, with 61 billion of 107 billion cans shipped that year not recovered, even as the country sourced USD 26.5 billion of aluminium imports in 2025.
Why this mattersLow US can recovery keeps the country reliant on imported primary aluminium, raising feedstock costs and carbon intensity for can makers and brand owners.
- US aluminium can recycling rate stood at about 43 percent in 2023, Greyparrot says.
- 61 billion of 107 billion cans shipped in the US in 2023 ended up in landfill.
- Landfilled cans represent more than USD 1 billion in value and around 11 million MWh of wasted energy annually.
- US aluminium imports totalled USD 26.5 billion in 2025, with net imports covering around 60 percent of domestic supply.
- Recycled aluminium requires about 95.5 percent less energy than primary production, per Greyparrot.
Eight German industry associations sent an urgent letter to Federal Chancellor Nina Warken on 2 October 2026 opposing plans to introduce a new plastic packaging tax via an amendment to the Budget Support Act 2027, bypassing the responsible ministries and cabinet approval of the legal text. The associations estimate the tax would impose at least EUR 600m a year in corporate compliance costs and require up to 2,000 extra customs officers, and warn it could push packaging substitution toward heavier, less recyclable materials.
Why this mattersA German consumption tax on plastic packaging could add hundreds of millions in annual compliance costs and push brand owners toward materials the regulator itself calls less recyclable.
- Eight associations, including Plastics Europe Germany, IK and BDE, wrote to Chancellor Nina Warken on 2 October 2026 opposing the tax's fast-track procedure.
- The tax would be added to the Budget Support Act 2027 without involvement of the technically responsible ministries or cabinet approval of the specific legal text.
- Germany's draft 2027 budget includes a EUR 1.261bn negative title for transfer to the EU's plastic levy, intended to be funded by the new domestic tax.
- Associations estimate corporate-level bureaucratic costs of at least EUR 600m annually, above the Federal Environment Agency's EUR 420m estimate based on 1.5 person-days per company.
- Around 2,000 additional customs officers could be needed to administer registration, supervision and import controls, according to the associations.
- The Federal Environment Agency warns the tax could trigger a shift toward heavier or less recyclable materials, such as plastic-coated paper packaging.
Italy has introduced national rules requiring certain single-use plastic packaging formats to be biodegradable and compostable, using flexibility allowed under the EU Packaging and Packaging Waste Regulation. The measure covers pre-packaged fresh fruit and vegetables under 1.5 kg, some HORECA food and beverage packaging, single condiment portions and certain single-use cosmetic and hygiene packaging in accommodation settings.
Why this mattersNational add-ons to the PPWR create diverging compostability requirements by market, raising compliance complexity for packers and converters selling across the EU.
- Rules apply to pre-packaged fresh fruit and vegetables below 1.5 kg
- Covers certain food and beverage packaging used in the HORECA sector
- Covers individual condiment portions
- Covers selected single-use cosmetic and hygiene packaging used in accommodation establishments
- Rules build on flexibility provided under the EU PPWR
