Stora Enso decided to invest approximately EUR 79 million in a new production line for cross laminated timber (CLT) at its Ždírec sawmill in the Czech Republic.
Production is scheduled to begin during the third quarter of 2022 and the estimated annual production capacity will be approximately 120 000 m³ after ramp-up.
The investment is expected to generate annual sales of approximately EUR 70 million when run at full capacity and to meet the Wood Products division’s profitability target of 20% operational return on operating capital (ROOC).
Construction expected to start during the first quarter of 2021
Stora Enso invests in the latest technology, which, together with fully integrated production at the Ždírec sawmill, will provide customers with cost-efficient solutions and premium products.
Integration with the existing sawmill will also add benefits in, for example, raw material and energy supply, and logistics.
The investment is estimated to increase the number of employees at the mill by approximately 110 FTEs. Stora Enso has received all required permits for the project.
Currently, Stora Enso has three CLT production units with a total capacity of 270.000 m3: Gruvön in Sweden and Ybbs and Bad St. Leonhard in Austria.