Stora Enso invests in cross laminated timber (CLT) production in Gruvön, Sweden

Stora Enso has decided to invest EUR 45 million in a new production unit for cross laminated timber (CLT) in connection with its Gruvön Mill in Sweden. The investment will further enhance Stora Enso’s position as a global provider of high quality engineered wooden elements and as a market leader in CLT.

The production is scheduled to begin during the first quarter of 2019. The estimated yearly capacity of the production line will be approximately 100 000 m³ after ramp-up, subject to required approvals being in place. The investment is expected to generate annual sales of approximately EUR 50 million when run at full capacity and over time significantly exceed the Wood Products division’s profitability target, operational return on operating capital (ROOC) of 18%.

The green field investment is made as an extension of the existing Gruvön sawmill. The construction is expected to start by the end of Q4 2017. Stora Enso invests in advanced technology, which together with completely integrated production, will ensure cost efficient solutions for customers and premium products to the market.

“This investment supports our strategy to grow in the construction industry and increase the use of wood as a building material. We target to increase our cost competitive CLT capacity located favourably in relation to target markets. We see extensive potential for CLT in the Nordic market. The demand for this premium product, our well proven concepts, and massive building components and systems is constantly increasing,” says Jari Suominen, Executive Vice President, Stora Enso’s Wood Products division.

In Gruvön, Stora Enso can take advantage of and make best use of the premises available, an industrial infrastructure for efficient logistics, the local supply of raw material to optimise wood sourcing and highly competent workforce. This investment is not anticipated to impact current operational level at the existing mill. The estimated total employment impact for the region is estimated to be 60 FTEs.
http://www.storaenso.com/news-and-media/Pages/Pressreleases.aspx?newsid=08AF74C5EBEAE20A

Related Posts

Sappi Gratkorn’s next step to increase the share of renewable energy

As part of Sappi Europe's full scale decarbonisation roadmap, Gratkorn mill is expanding the share of biomass to be used as an energy source, further driving the move away from fossil fuels as part of the mill’s contribution to the European roadmap. The project follows the recent modernisation of the power plant boiler which enabled the shift from coal to a combined approach of biomass and natural gas. The mill is now embarking on a next step, enhancing its infrastructure and therefore capacity in order to handle the delivery, sorting and processing of increased biomass levels. This increased utilisation requires an improved biomass handling system at the mill as well as decentralised intermediate storage terminals within the surrounding regions.

Sappi invests in fully transparent, customer centric supply chain in partnership with Shippeo

Sappi Europe has partnered with Shippeo, the European leader in real-time transportation visibility solutions. This partnership will create a fully transparent supply chain helping to boost efficiency and customer satisfaction through innovative digital supply chain capabilities. Sappi Europe employs 5,600 people across the region producing 3.7 million tons of paper and 1.12 million tons of paper pulp each year across ten mills. Sappi Europe is part of South Africa-based Sappi Limited one of the leading global providers of pulp, paper, packing and sustainable woodfibre products and solutions. This partnership with Shippeo will see real-time visibility incorporated into internal transportation and last leg customer deliveries across the continent. There is an ongoing need for supply chain cost reduction, greater customer focus with higher service levels. Digitizing processes in the supply chain is therefore a key focus area. Being able to provide real time delivery updates will increase internal efficiencies and improve overall customer service.

Historic wage increases at the Kruger plant in Trois-Rivières

Unifor is proud to announce the conclusion of a historic agreement in principle between the employees at the Kruger plant in Trois-Rivières and the company's management, putting an end to the strike that began on May 30, 2024. Union members overwhelmingly approved the agreement at ratification meetings held throughout the week. This new four-year collective agreement marks a major milestone for employees, with unprecedented wage increases and substantial improvements to benefits, vacation, pension and the introduction of an overtime bank for production employees. The salary increases are spectacular: from May 1, 2024, employees will benefit from an 8% salary adjustment and an additional 3% increase. In 2025, wages will be further increased by $1.30 per hour. For 2026 and 2027, employees will receive a guaranteed increase of 2.25% or more, depending on the pattern in effect.
Back To Top
×Close search
Search