I calculated the capacity utilization rates for UPM’s various units in Q1 based on publicly available information. The capacity data is from UPM’s 2025 annual report:
Fibres South (annual capacity 3.4 Mt, Q1 deliveries 0.824 Mt) → utilization rate 97%
Fibres North (annual capacity 2.37 Mt, Q1 deliveries 0.589 Mt) → utilization rate 99%
Specialty Materials (annual capacity 2.00 Mt, Q1 deliveries 0.367 Mt) → utilization rate 73%
Communication Papers (annual capacity 3.70 Mt, Q1 deliveries 0.726 Mt) → utilization rate 78%
Observations:
- UPM is running its Finnish pulp mills at full capacity, while at the same time Metsä Group is partially idling its mills.
- Similarly, the mills in Uruguay are being run practically at full capacity.
- Specialty Materials managed a decent result, even though the mills are heavily underutilized.
- The situation for Communication Papers is weak; paper machines should be closed immediately, but it’s unlikely anything will happen until the SAPPI situation reaches some kind of conclusion. Then things will happen..