Pulp Mills Market Report 2026

The pulp mills market size has grown strongly in recent years. It will grow from $73.37 billion in 2025 to $77.74 billion in 2026 at a compound annual growth rate (CAGR) of 6%. The growth in the historic period can be attributed to expansion of global paper and packaging demand, availability of forest resources, growth of chemical pulping technologies, increasing use of virgin pulp in packaging, expansion of pulp export markets.

The pulp mills market size is expected to see strong growth in the next few years. It will grow to $100.42 billion in 2030 at a compound annual growth rate (CAGR) of 6.6%. The growth in the forecast period can be attributed to increasing demand for sustainable packaging materials, rising investments in low-emission pulp mills, expansion of circular economy initiatives, growing adoption of alternative fiber sources, increasing regulatory pressure on deforestation. Major trends in the forecast period include increasing adoption of recycled and non-wood pulp sources, rising demand for high-quality specialty pulp, growing focus on energy-efficient pulping processes, expansion of sustainable forestry practices, enhanced focus on emission reduction.

The contributing factor to the growth of the pulp mills market is the rise in e-commerce sales. The e-commerce industry relies on pulp mills for packaging materials due to their cost-effectiveness, sustainability, and the ability to create sturdy shipping containers. The projected annual growth of the UK's e-commerce revenues by 12.6% by 2025, reaching a market value of $285.6 billion, according to the International Trade Administration in November 2023, reflects the global trend of increasing e-commerce activities. As of January 2021, e-commerce already accounted for 36.3% of total retail in the UK, ranking third globally after China and the US. This surge in e-commerce sales is a key factor driving the growth of the pulp mills market.

Leading companies in the pulp mills market are concentrating on creating innovative solutions such as mill-wide digital optimization software to boost productivity, enhance process efficiency, and strengthen operational resilience. This software is a comprehensive system that leverages real-time data and advanced analytics to coordinate, monitor, and optimize all processes within a pulp mill for greater efficiency and more dependable operations. For example, in November 2025, ABB Group, a Switzerland-based technology firm, introduced ABB Ability™ Plant Optimizer for Pulp Mills, a mill-wide optimization software for pulp production. The solution combines real-time data, advanced analytics, and coordinated process control to improve productivity and operational resilience across the entire mill. It enables manufacturers to optimize production planning, increase efficiency, and respond more effectively to changing process conditions.

In February 2023, First Quality Enterprises Inc., a US-based consumer product manufacturer and distributor, acquired a pulp mill in Dryden from Domtar Corporation for an undisclosed amount. This strategic acquisition expands their operations and grants the Dryden pulp mill the capability to produce high-quality Northern Bleached Softwood Kraft (NBSK) pulp for customers in the North American region. Domtar Corporation, the seller, is a US-based wood fiber-based paper and pulp product manufacturer. This acquisition reflects a strategic move to strengthen capabilities and increase regional market influence in the pulp mills sector.

Major companies operating in the pulp mills market are International Paper Company, Stora Enso Pulp AB, WestRock Company, Georgia-Pacific Pulp and Paper LLC, Nippon Paper Industries Co. Ltd., Oji Holdings Corporation, Sappi Global, UPM-Kymmene Corporation, Sonoco Products Company, Suzano Papel e Celulose S.A., PT. Indah Kiat Pulp & Paper Tbk, BillerudKorsnas AB, Nine Dragons Paper Holdings Limited, Mondi Group plc, Svenska Cellulosa Aktiebolaget SCA, Metsä Board Corporation, Lee & Man Paper Manufacturing Limited, Rottneros AB, Domtar Corporation, Canfor Pulp Products Inc., Mercer International Inc., Resolute Forest Products Inc., Asia Pulp & Paper Co. Ltd., Fibria Celulose S.A., Klabin S.A., CMPC Celulosa S.A., Celulosa Arauco y Constitución S.A., Eldorado Brasil Celulose S.A., Verso Corporation, P.H. Glatfelter Company, Catalyst Paper Corporation, Heinzel Holding GmbH.

North-America was the largest region in the pulp mills market in 2025. The regions covered in the pulp mills market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the pulp mills market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The pulp mill market consists of revenues earned by entities by providing softwood, hardwood, and paper, including printing paper, newsprint, and packaging materials. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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