A possible ban on Russian natural gas imports due to the Kremlin’s invasion of Ukraine would be disastrous for paper production in Germany, industry leaders said.
“A gas embargo would practically mean a sector-wide halt in production for the paper industry,” said Alexander von Reibnitz, chief executive of the industry association, Die Papierindustrie.
He said the war is already having an impact on paper producers due to the higher cost of raw materials.
According to him, gas with a share of 55 per cent, is the most important fuel in the industry.
“Only 15 per cent of this could be replaced by other energy sources by next winter.
“An embargo on Russian natural gas imports would therefore mean a halt in production affecting, for example, food and medicine packaging.
“Materials for medical and home use and special quality papers such as filters would be affected,” he said.
He added that printing paper for newspapers, magazines, catalogues or brochures would also be affected.
Steffen Würth, chairman of the Corrugated Board Industry Association (VDW) also said the economic effects of the war in Ukraine are now drastically exacerbating the ever more extreme price pressure on our industry.