Metsä Tissue has announced its decision to discontinue one machine at its largest tissue mill in Germany, located in Kreuzau. The affected machine has reached the end of its designated life cycle, according to the company.
This strategic decision is part of a comprehensive investment and capacity adjustment plan for the mill, aimed at ensuring its long-term competitiveness and fostering future profitable growth, Metsä Tissue said.
The company has also announced plans to invest in modernising the production equipment and make other capacity adjustments. The aim of these measures is to balance the paper-making and converting capacities at the mill with a strategic focus on manufacturing consumer tissue products exclusively.
Metsä Tissue has commenced change negotiations with the works council at the Kreuzau mill to implement these plans, which are expected to affect a total of up to 120 jobs.
The tissue industry operates in a challenging and highly competitive market environment, characterised by increasing cost pressure due to higher energy and raw material costs. This situation also impacts Metsä Group's tissue paper mill in Kreuzau, Germany, the company said.
“We are committed to ensuring the long-term success of our Kreuzau mill. Introducing these plans to adjust our capacity and including the related possible personnel impacts are unfortunate but necessary. With these plans, we aim to strengthen our position in the production of sustainable tissue paper products in the competitive German market. We will work together with our personnel and the works council to find the best possible solutions to the situation,” said Tobias Lüning, SVP West, and Country Manager of Metsä Tissue GmbH.
Kreuzau is one of the largest tissue paper mills in Europe and the largest within Metsä Group. The mill is manufacturing fresh fibre-based tissue paper products with an annual production capacity of 113,000 tonnes.
