Nippon Paper Industries Files A$400 Million Lawsuit Against Victoria State Government Over Logging Disruption

Nippon Paper Industries Co., Ltd. announced on September 22 that it has filed a lawsuit in Australia’s Supreme Court against the Victorian state government, seeking approximately A$400 million (about ¥40 billion) in damages. The lawsuit arises from the disruption of raw timber supplies after a state court injunction halted logging operations by a government-owned company, which was a key supplier under contract until 2030. The affected subsidiary, Opal Paper, which produces cardboard and copy paper in Victoria, was forced to cease its graphic paper business at the Maryvale mill due to the supply halt. Despite attempts to find alternative raw material sources and ongoing settlement negotiations, no agreement was reached, leading to this legal action. The injunction was issued in 2022 to protect rare animals, underscoring tensions between environmental regulations and industrial operations.

GOVERNMENT REGULATION/LAWSUITS