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April 8, 2026

Arauco warns of structural cost pressures in global forestry sector

Arauco warns of structural cost pressures in global forestry sector

Arauco is reassessing its operations as geopolitical tensions, rising energy costs and domestic security concerns weigh on the Chilean forestry sector. Arauco, one of the world's largest producers of pulp and wood, closed 2025 with profits of US$40.9 million, a significant drop compared to the US$476.3 million obtained in 2024, in a context dominated by lower pulp prices and higher logistics costs. In an interview, Charles Kimber, Arauco's Corporate Manager of People and Sustainability, details how the geopolitical conflict, rising oil prices, and insecurity in Chile are weighing on the company's ...

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