The profitability decline is anticipated to persist, thus making the operation of the fiberline unsustainable.

Stora Enso has announced plans to permanently end softwood pulp production on fiberline 3 (L3) at its Skutskär mill in Sweden. The move is part of the company’s restructuring strategy aimed at strengthening its fluff pulp operations and improving long-term competitiveness.Scrap buy requests

The closure is feared to impact up to 80 employees at the Skutskär facility. The company press release noted that it has already initiated negotiations with union representatives.

According to Stora Enso, weakening softwood pulp demand across Europe since 2023, declining market prices, and rising wood costs have pushed fiberline L3 into negative margins. The profitability decline is anticipated to persist, thus making the operation of the fiberline unsustainable.

Timo Tidenberg, Head of Stora Enso's Business Unit, noted that the company had examined a number of options to improve the financial situation of fiberline 3. However, none of these options has proved feasible in ensuring long-term cost competitiveness, he said

The shutdown is expected to take place during the third and fourth quarters of 2026. Meanwhile, Stora Enso plans to focus on enhanced production of fluff pulp through its two remaining production lines.

About Stora Enso
Stora Enso is a global leader in renewable materials with a strong focus on packaging. Our purpose is to replace non-renewable materials with renewable solutions. Together with our customers, we design and deliver competitive, high-quality packaging materials and solutions, made from fresh and recycled fibers, accelerating the transition to a circular bioeconomy. Stora Enso has approximately 19,000 employees and our sales in 2025 were EUR 9.3

Source: storaenso.com