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SCA discontinues publication papers, reinvests in pulp

SCA, a Swedish-based forest products company, has discontinued production of publication paper at its Ortviken mill, affecting about 800 employees.

The company will instead invest SEK 1.45 billion in the production of chemically pre-treated thermo-mechanical pulp (CTMP), to be manufactured at the company’s Ortviken industrial site in Sundsvall, Sweden.

The proposed restructuring plan for Ortviken paper mill was announced on August 26. The company plans to conduct consultations with the affected employees about next steps.

“Publication paper is a product with a declining market and we now entirely leave this product area, this enables us to focus on products with healthy growth and good prospects for the future,” says Ulf Larsson, SCA’s CEO.

“The plans we are now carrying out will have significant impact and now, together with representatives of our employees, we will seek the best possible solutions for those affected.”