Stora Enso's Green Revolution: The Oulu Site's New Consumer Board Line

In the heart of Finland, a green revolution is underway. Stora Enso, a global leader in renewable products, has just started operations at its new consumer board line in Oulu. This isn't just another factory opening; it's a strategic move that could reshape the packaging industry and solidify Stora Enso's position as a pioneer in sustainable solutions.

The new line, with an annual capacity of 750,000 tonnes, is a testament to Stora Enso's commitment to renewable packaging. The investment of approximately EUR 1 billion is expected to reach EBITDA breakeven by the end of 2025 and full capacity during 2027, with anticipated annual sales of around EUR 800 million. This isn't just about numbers; it's about creating a future where everything made from fossil-based materials today can be made from a tree tomorrow.



But why Oulu? The site's strategic location, integrated infrastructure, and experienced team make it an ideal starting point for this kind of conversion. The mill's deep-sea harbor facilitates raw material and product transportation, while the local wood supply ensures a stable and cost-efficient source of raw materials. The investment also brings significant employment opportunities, with approximately 650 people employed at the site.

The new line is designed to cater to the growing demands of the food and beverage industries, particularly frozen, chilled, and dry food packaging, as well as beverage multi-packaging. This focus aligns with the increasing demand for sustainable packaging solutions, positioning Stora Enso as a key player in the renewable packaging market.

However, the ramp-up of the new line isn't without its challenges. The high cost of wood, soft demand due to slow economic recovery, and low operating rates are potential risks that could impact profitability and operational efficiency. But Stora Enso isn't sitting idly by. The company is focusing on cost reduction, operational excellence, and market demand to mitigate these risks.

The new line is expected to be the most modern and cost-efficient in Europe, featuring a flexible production setup. This technological advancement allows Stora Enso to optimize production at other sites, unlocking further profitable growth. For example, the investment enables the optimization of production at the Skoghall site in Sweden for liquid packaging board. This flexibility and efficiency provide a competitive advantage in the global market, as Stora Enso can quickly adapt to changing market demands and customer needs.

In conclusion, Stora Enso's new consumer board line at the Oulu site is more than just a new production facility. It's a strategic move that aligns with the company's goals of growth, sustainability, and market leadership in the packaging sector. The investment supports the company's focus on renewable materials, enhances its production capabilities, and positions it to capture growing demand in key markets. As Stora Enso looks ahead, it continues to play a pivotal role in shaping the future of sustainable packaging solutions globally.