SCA invests into the pulp production capacity expansion in Sweden


SCA decided to increase capacity for pulp production at its Östrand pulp mill in Timrå, Sweden. Production is expected to commence in 2018.

According to the announcement, the annual production capacity of bleached sulphate pulp will increase from the current level of approximately 430ktpa to about 900ktpa. The investment will amount to about SEK 7.8 billion (arround USD 900 million) over a three-year period.

Magnus Groth, President and CEO of SCA, commented:

“A cohesive forest products operation in a single division further highlights the value created and optimizes synergies between the forest industry and ownership of forest land. Over time, the investment in Östrand will increase sales and competitiveness and create a world-class cost position and higher margins.”

Earlier SCA announced closure of a tissue production plant in Flagstaff, Arizona, in the US..

About SCA:

The company is a leading global hygiene and forest products company. The Group develops and produces sustainable personal care, tissue and forest products. Sales are conducted in about 100 countries under many strong brands, including the leading global brands TENA and Tork, and regional brands, such as Libero, Libresse, Lotus, Nosotras, Saba, Tempo and Vinda. As Europe’s largest private forest owner, SCA places considerable emphasis on sustainable forest management. The Group has about 46,000 employees. Sales in 2015 amounted to more than SEK 115 billion (EUR 12.4 billion). SCA has its headquarters in Stockholm, Sweden, and is listed on NASDAQ OMX Stockholm.

Source: Woodbizforum