Metsä Tissue to Adjust Production Capacity of Kreuzau Mill in Germany; 120 Jobs

Plans for the Kreuzau tissue mill include: a mix of efficiency measures, investments into modernizing the production equipment and capacity adjustments, and the closure of one paper machine at the end of its lifecycle.

Jan. 9, 2025 - Metsä Tissue has announced an investment and capacity plan for its tissue mill in Kreuzau, Germany, to ensure long-term competitiveness and future profitable growth.

In a press release, Metsä Tissue said, "Companies in the tissue industry operate in a challenging and highly competitive market environment, characterized 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 has today presented a plan to lead its Kreuzau tissue paper mill back on a profitable growth path."

Several actions are planned to ensure the mill's long-term competitiveness and to build on the site's existing strengths: a mix of efficiency measures, investments into modernizing the production equipment and capacity adjustments, including the closure of one paper machine at the end of its lifecycle. The target is to balance the paper making and converting capacities at the mill and to focus the mill on manufacturing only consumer tissue products.

In order to implement these plans, Metsä Tissue is beginning change negotiations with the works council at the Kreuzau mill. The anticipated measures are planned to affect a total of up to 120 jobs.

Tobias Lüning, SVP West, and Country Manager of Metsä Tissue, explained, "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."

The Kreuzau mill, with a workforce of 494 people, is one of the largest tissue paper mills in Europe and largest within Metsä Group. Currently, the mill operates four paper machines and has the capacity to produce 113,000 tonnes per year of tissue.

Metsä Tissue has nine paper mills around Europe producing hygiene products for consumers and professionals and greaseproof papers for professional and consumer use. Metsä Tissue's head office is in Espoo, Finland. Consumer tissue products are sold under the brands: Lambi, Serla, Mola and Tento. Katrin brand portfolio is targeted to professional users and SAGA is Metsä Tissue's greaseproof papers brand.

SOURCE: Metsä Tissue