Stora Enso invests EUR 19 million in fluff pulp production at Skutskär

Stora Enso is strengthening its focus on specialised pulp grades by investing EUR 19 million to increase fluff pulp production at its Skutskär production unit in Sweden. The investment will help meet growing demand for hygiene products. As a result of ongoing change negotiations, the company has also decided to permanently close softwood pulp production on fiberline 3 (L3).

The investment will further strengthen Stora Enso’s position as Europe’s leading producer of fluff pulp. The planned upgrades will improve production stability and efficiency, enhance product quality, enable future fibre blends, and increase fluff pulp production capacity by approximately 10%. The investment is expected to be completed in the fourth quarter of 2027 and is in line with Stora Enso’s capital expenditure guidance.

“This is an important step for Stora Enso. Demand for fluff pulp is growing globally, driven by ageing populations and increased use of hygiene products, and demand is expected to outpace supply over the long term. In line with our strategy, we are developing our business to accelerate growth and create value by serving demanding customers,” says Johanna Hagelberg, Executive Vice President, Biomaterials Business Area at Stora Enso.

As previously announced, the closure of softwood pulp production on fiberline 3 (L3) means that production will cease during the third quarter of 2026, subject to the fulfilment of customer orders.

“Market conditions did not support a viable long-term future for L3. This investment allows us to sharpen our focus on fluff pulp production, while work to reorganise the business unit continues. We are strengthening Skutskär’s strategic position and long-term competitiveness in the growing fluff pulp market,” says Timo Tidenberg, Head of Business Unit Skutskär at Stora Enso.

Following the capacity increase, Stora Enso’s Skutskär site will have an annual fluff pulp production capacity of 440,000 tonnes.