TM9 came online in July last year. TM10 is due Q1 2026 at Papel San Francisco’s Mexicali mill.
With capacity reaching 270,000 metric tons per year, converting is being stepped up: a well-timed plant in Querétaro, central Mexico, also launches in Q1.
Many innovative ideas are firing up the expansion, not least catchy green marketing slogans like “Save Money While You Save the Planet.”
For Juan José Helú, Sales & Marketing Director, the market is more competitive than ever: “Many companies are dealing with overcapacity and are aggressively pursuing sales in an increasingly tight market, which has driven down prices and profitability for both retailers and suppliers.”
Nationally, the figures are high end: retail tissue value sales are set to grow at a current value CAGR of 6%, best performer being paper towels up 8%; domestic consumption is approaching 16kg pp, well above most of Latin America.
One ‘problem’ for Mexico is its northern neighbour, the largest tissue value market in the world, and the reason why its exports out-perform imports 2:1. Tissue laden trucks roll freely over that border, an agreement which remains under review at the time of writing.
TWM’s coverage of CNHPIA’s assessment of the industry in 2023 carried the official response to“staged overcapacity” becoming more serious. It urged companies to invest “rationally” to ward off the continuing decline in operating rate.
TWM’s Country and Operation Reports examine how Mexico’s vibrant companies are facing the challenge.
Consumer priorities are changing worldwide: how tissue should respond
Even as a third of global consumers are concerned about finances, they also weigh their choices with personal and environmental health.
In 2025, 62% of consumers worry about climate change, and 61% of them actively try to make a positive environmental impact through their daily actions.
Euromonitor International reports that for the industry in such a complex market clearly defined product positioning and effective messaging about specific benefits are essential.
How far can the drive for a net zero mill go?
They already exist, partially. Conditions have to be right, as with Essity Kawerau utilising geothermal energy. Sources in one region will power transition, but will be unavailable in others.
AFRY Management Consulting’s MarketIssues offers a detailed examination of the multitude of issues and choices facing manufactures, each of whom “will need every site to look at a combination of activities, and that each case will be different and unique.”
The complete net zero journey – decarbonise whilst maintaining competitive position – will range across the entire value chain, from pulp and chemical supply into the home, office and HORECA … from source to use.
