Hamburger Containerboard, member of the Prinzhorn group, is negotiating the closure of the board machine BM 1 at the Trostberg mill in Germany. The company plans to shut down the machine by the end of year, Euwid reports.
Declining orders and high maintenance and operating costs are said to be the reasons behind the move.
"The continuing decline in orders in recent years in addition to enormous maintenance and operating costs of a machine that is almost 100 years old made it impossible to maintain production economically," the company explained.
According to Hamburger Containerboard, about 40 workers might be affected by the machine closure. Negotiations with employee representatives are ongoing.
BM 1 at Hamburger Rieger Trostberg has an installed capacity of up to 30,000 tpy of recycled board in basis weights of 350-900 g/m², including white-lined chipboard.