The Spanish paper industry is entering the second half of 2026 in a landscape marked by higher production costs. In addition to a demanding environment for European industry, characterized by growing international competition, the impact of elevated gas prices is becoming increasingly significant for sectors with heavy electricity and thermal energy use.
Thus, the initial data available for 2026 show a moderation in activity in the Spanish paper industry as a result of this context. In the first half of the year, production of paper and cardboard fell by 3.2% compared to the same period in the previous year, while pulp production declined by 3.9%. According to the Spanish Association of Pulp, Paper and Cardboard Manufacturers (ASPAPEL), this scenario adds another layer of difficulty for an industry with a strong export orientation that competes in international markets with energy costs notably lower.
Energy costs weigh on competitiveness
Manufacturing pulp, paper and cardboard requires substantial inputs of thermal and electrical energy, so fluctuations in the price of gas directly affect production costs. Since the onset of the crisis in the Middle East, gas price levels have remained markedly higher than those seen in recent years, with increases of at least 50% and periods such as the current one where the differences approach 100%. This price inflation directly affects industrial processes that require heat and ultimately translates into higher electricity prices.
There is also a gap with some of the main European competitors. According to the Energy Barometer of the Association of Large Energy Consumers (AEGE), updated to September 14, and once the support measures applied in each country are taken into account, a highly energy-intensive consumer in France faces a final electricity price about 28% lower than in Spain, while the same consumer in Germany would pay about 13% less.
In this regard, Manuel Domínguez, ASPAPEL’s Director General, notes that “the current level of gas prices increases our costs at a moment when companies are already operating in an environment of very high structural costs and a very demanding international context. Maintaining competitive conditions relative to other European countries is essential for the industry to continue producing, investing, and advancing in Spain and to avoid the risk of relocation.”
This problem is not exclusive to the paper sector. According to estimates from the Alliance for the Competitiveness of Spanish Industry, of which ASPAPEL is a member, the rise in gas and electricity costs driven by the Hormuz crisis could generate an energy overrun of around €7.4 billion for the entire Spanish manufacturing sector from the onset of the conflict through the end of 2026, of which €4.22 billion would be gas and €3.175 billion electricity. The Alliance warns that 70% of this impact will be concentrated between September and December, underscoring the urgency of measures.
Exporting less and at lower prices
The energy situation coincides with an unfavorable trend in foreign trade during the first half of the year. Data released by the Spanish Tax Agency (AEAT) show that during the first six months of 2026, exports of paper and cardboard fell by 5.7% in volume compared with the same period in 2025. The decline is even more pronounced in terms of total value: turnover associated with these exports fell 9.5%, while the average price per ton exported dropped 4%.
The trend is similar for pulp. Export volume declined by 10.3%, while the total value of exports fell by 14.7% and the average price per exported ton dropped 4.9%.
The data thus show that the Spanish industry is exporting less volume and at lower prices, a circumstance especially significant given the weight of foreign markets for the sector. In 2025, Spain exported 41% of its paper and cardboard production and 56.9% of pulp production.
Alongside these data, the evolution of imports stands out. Although the total volume of imports of paper and cardboard declined slightly, by 0.6% in the first half, the presence of products from third-country markets continues to grow.
In this sense, imports of paper and cardboard from Turkey rose 48.5% in the first six months of 2026 and already account for 12.1% of imports from non-EU countries. In the same vein, imports from China grew 26%, reaching 18.3%. Taken together, arrivals from Asia, excluding Turkey, increased by 42.5%.
This trend reinforces the importance of ensuring a more competitive cost structure so that the Spanish industry can compete on fair terms both within the European market and against producers from third countries.
An immediate response for the heat-intensive industry
In response to this scenario, ASPAPEL is calling for a two-pronged approach. In the short term, it considers it a priority to activate urgent measures that help cushion the impact of the energy situation on production costs.
In the medium and long term, the association proposes developing a framework specific to the heat-intensive industry, analogous to the Electro-Intensive Consumer Statute, which accounts for the particularities of industrial activities with high thermal consumption and includes both gas and biomass users.
This framework should incorporate specific tools to support investment that facilitate the technological upgrading of industrial facilities and the progressive replacement of fossil fuels with renewable alternatives, thereby contributing to decarbonization without compromising the competitiveness of the productive fabric.
As Manuel Domínguez explains: “What is at stake is not only this year’s balance sheet, but the continuity of our factories and the employment they generate. We need real tools that allow us to transform facilities without risking their operation.
The article The rise in gas price adds pressure to the competitiveness of the paper industry is originally from MuyPymes
