Kumamoto earthquake damage keeps its Yatsushiro Mill shut with no restart date, forcing supply from Iwanuma and derailing its 31 billion yen investment plan.
Nippon Paper has said it cannot foresee when operations at its Yatsushiro Mill in Yatsushiro, Kumamoto Prefecture, which was damaged by the July 28 Kumamoto earthquake, will resume, and has changed its full-year earnings outlook to undecided. The mill is the only newsprint production base in Kyushu, accounting for just under 10% of domestic share (2025), but the company has begun supply from its Iwanuma Mill, and Oji Paper, Daio Paper, and Chuo Pulp Industry have started alternative production. The earthquake killed nine people, caused severe damage including damage to three chimneys and the collapse of office buildings, and a fire also broke out on September 3. In the Great East Japan Earthquake, it took about a year and a half to fully restore three mills in the Tohoku region, including the Ishinomaki Mill, and the restart of the Yatsushiro Mill is expected to require huge costs. The company had planned to invest about 31 billion yen to increase production of toilet paper and other products, but the disaster has forced it to navigate the difficult course of restarting the mill and rebuilding its production system.
Kumamoto earthquake damage keeps its Yatsushiro Mill shut with no restart date, forcing supply from Iwanuma and derailing its 31 billion yen investment plan.