Stora Enso To End Production at Kvarnsveden Site in Q3 2021

SEATTLE (Scrap Monster): Stora Enso announced that it has completed the co-determination negotiations related to closing down of the pulp and paper production at its Kvarnsveden site in Sweden. The decision to permanently close down the site was initially announced in April this year. The company blamed declining paper market for the mill closure.

Further to the co-determination negotiations, it has been decided to permanently close down pulp and paper production at the site by the end of the third quarter this year. The customer service centre located at the site will be closed down by the end of the current year. Meantime, the power plants will continue to operate, at a minimal operating rate, said the company press release.

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Stora Enso declared that the co-determination negotiations regarding personnel impact and the related redundancies are due to commence shortly. No layoffs will be made prior to conclusion of these negotiations. Also, the company, in collaboration with the City of Borlänge and other regional and national stakeholders, has initiated a project to explore future options for the Kvarnsveden site.

Earlier, in mid-June this year, the company had completed the co-determination negotiations concerning closing down the pulp and paper production at its Veitsiluoto site in Finland.