—  UPM and Sappi announced plans to combine their European graphic paper businesses – encompassing 12 paper mills into a new joint venture. UPM explained the rationale for the move: “Overall, the joint venture would rationalize supply in an industry burdened by declining demand, structural overcapacity and high energy costs. “It would contribute to a more balanced and resilient market, and make the industry better positioned to withstand market challenges and increasing imports.” Sappi pointed to the same backdrop of declining demand and of a paper industry under strain and stated: “Recent trade tensions and tariffs have further disrupted trade flows resulting in increased Asian exports to the European.” The joint venture would include the entire €2.9bn sales UPM Communication Papers business. It includes the following paper mills: Kymi, Rauma and Jämsänkoski in Finland, Nordland, Augsburg, and Schongau in Germany, UPM Caledonian paper mill in Irvine, Scotland, Blandin paper mill in the USA. Sappi’s mills include, Kirkniemi in Finland, Gratkorn in Austria, Ehingen in Germany and Maastricht in the Netherlands. The expected timeline is for the deal to close by the end of 2026.