Aleksei Lomko, Ilim’s CEO, stated that the investments the Company made into the construction and equipment of its KLB Mill are unique and most ambitious Russia has witnessed over the last 40 years
Shanghai, March 21. /Ivan Kargapoltsev, TASS reporter/. In 2024, Ilim Group intends to supply up to 550 thousand tons of premium board (virgin kraftliner) to the Chinese market. Aleksei Lomko, Company’s CEO, told the TASS reporter about this when on a business trip to China.
“Illim Group has continuously increased sales volumes over its 28 years of presence in the Chinese market. In 2023, the sales reached 2.1 million tons. But the Company never rests on its laurels. We are planning to increase our sales to 2.4 million tons in 2024”, he said emphasizing that board supplies will amount to 850 thousand tons, which is twice the 2023 volume.
Aleksei Lomko highlighted that the Chinese market will receive about 300 thousand tons of board from the existing Bratsk Mill and 500 to 550 thousand tons of board from the KLB Mill, the newest facility started up in 2023.
“The main goal and objective is to ensure the efficient launch of our virgin board from the KLB Mill with the best strength properties in the Chinese market. We position it in the premium segment. The capacity of the Ust-Ilimsk KLB Mill is 630 thousand tons a year”, he said and added that Ilim Group had made unique investments into the KLB Mill construction and equipment which had not been seen in Russia over the last 40 years.
“Ilim has fully targeted its efforts on manufacturing the product that satisfies market demands. Tight competition is ahead of us, and in 2024, we will stay focused on positioning our board as the best-in-class. But, like many years before, we will also continue our regular business of making and selling pulp”, he said.
The largest supplier in China
According to Aleksei Lomko, Ilim Group is the largest global supplier of premium virgin board to China, goes second with its supplies of unbleached softwood pulp and is ranked third with bleached softwood pulp. However, he mentioned that in the current environment we have to go an extra mile for our end customers and it means the importance of logistics and a number of other business aspects that need to be attended to locally.
As regards the Chinese partners, Mr. Lomko mentioned that they demonstrate their vivid interest in uninterrupted supplies and guaranteed pulp volumes when negotiating. The Chinese partners are also planning to use Ilim Group’s board in the segments where excellent physical and mechanical properties are a must.