Oji Group to Install New Containerboard Machine at GS Paperboard & Packaging in Malaysia
(Tokyo, Japan, Dec. 28, 2017) Oji Holdings Corporation announced that it will install a new containerboard machine at GS Paperboard & Packaging Sdn Bhd (GSPP) located in Malaysia.
The new machine will produce liner and corrugated medium and have a production capacity of 450,000 tons per year.
In a press release the company said, “Oji Group sets ‘Expansion of Overseas Business’ as a fundamental policy of its management strategies, and its corrugated container business has continued to expand in Southeast Asia thanks to steady demands in the region. While Oji is operating more than 20 sites for converting, most of the base paper used for converting comes from external suppliers. It has been a challenge for the Group to improve its self-sufficiency of base paper. In addition, there are increasing demands for products with high quality and low unit weight in the containerboard market in Southeast Asia.
“By starting up a new containerboard manufacturing machine, we will be able to respond to the mentioned challenges, lay a foundation for further business expansion and also increase market share.
“Furthermore, by renovating the existing equipment for energy supply and water treatment at the same time, the new containerboard machine allows us to enhance our cost competitiveness and therefore leads to a strengthened business foundation for Oji,” the company concluded.
Oji said it will invest approximately JPY 35 billion (approx. USD309.75 million) for the containerboard machine and equipment for energy supply and water treatment.
Oji expects start-up of the new machine to take place in April of 2021.
GS Paperboard & Packaging Group www.gspp.com.my is the largest player in the Malaysian containerboard segment and integrated paper and packaging manufacturer with 2 paper machines and 18 converting machines. The company operate as a subsidiary of Oji Holdings Corporation. (Source: Oji Holdings Corp.)