{"id":100525,"date":"2026-11-04T07:01:29","date_gmt":"2026-11-04T07:01:29","guid":{"rendered":"https:\/\/www.timberindustrynews.com\/?p=100525"},"modified":"2026-11-04T21:39:58","modified_gmt":"2026-11-04T21:39:58","slug":"holmen-further-sawmill-cuts-in-sweden","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/holmen-further-sawmill-cuts-in-sweden\/","title":{"rendered":"Holmen: further sawmill cuts in Sweden"},"content":{"rendered":"<p>Holmen is preparing another reduction in its Swedish sawmill operations as weak construction demand and pressure on timber supplies continue to weigh on profitability. <!--more-->The decision follows earlier production cuts, despite investments to modernise its mills and broaden their product ranges.<\/p>\n<p>The company plans to stop sawing at Kroksj\u00f6n, near Skellefte\u00e5, while retaining the site\u2019s timber-processing activities. Around 50 employees have been given notice of possible redundancy, and negotiations over the new organisation are beginning. The transition is expected to be completed by March 1, 2027.<\/p>\n<p>Planing, painting, pressure treatment and finger-jointing will continue at Kroksj\u00f6n, using timber supplied by Holmen\u2019s Bygdsiljum sawmill. The change will turn Kroksj\u00f6n into a dedicated processing facility.<\/p>\n<p>Karolina Svensson, head of Holmen Wood Products, said the company had already adjusted production across its sawmills but needed to reduce output further.<\/p>\n<p>\u201cIt is currently not profitable to produce wood products at the current scale at our sawmills,\u201d she said in a statement reported by Skogsaktuellt.<\/p>\n<p>Svensson described the redundancies as regrettable but said the reduction was necessary for the business.<\/p>\n<p>The problem extends beyond weak timber sales. Speaking to Sveriges Radio, Svensson said competition for logs was intense and Holmen could not secure enough timber to supply all its sawmills.<\/p>\n<p>Kroksj\u00f6n is the latest operation affected by cuts. At Linghem, near Link\u00f6ping, Holmen announced in August that annual production would fall from 72,000 m\u00b3 to approximately 26,000 m\u00b3, a reduction of almost 64%. Around 18 jobs were affected. The company said the combination of weak demand and high log prices made profitable production difficult.<\/p>\n<p>Bygdsiljum had already announced redundancy notices affecting 16 workers in March. Production there had been reduced during summer 2025, initially without redundancies, but management said the downturn had lasted longer than expected. Holmen also confirmed in its review of 2025 that raw-material shortages had prompted earlier production reductions at Braviken and Linghem.<\/p>\n<p>The latest results show some improvement in quarterly earnings, although the timber business remains loss-making. Wood Products recorded an operating loss of SEK 23 million in the third quarter of 2026, compared with SEK 55 million in the preceding quarter and SEK 91 million a year earlier. Lower log costs helped, while selling prices were unchanged and demand remained subdued.<\/p>\n<p>For January\u2013September, however, the operating loss widened to SEK 170 million from SEK 70 million a year earlier. Sales fell 6% to SEK 2.92 billion, and deliveries declined 4.7% to 943,000 m\u00b3 because of production curtailments. Lower revenue from wood chips and biofuels, together with a weaker US dollar, weighed on earnings.<\/p>\n<p>Before the Kroksj\u00f6n announcement, Holmen reported five sawmills with combined annual capacity of 1.5 million m\u00b3. Investment spending in Wood Products fell to SEK 42 million in the first nine months of 2026, from SEK 141 million a year earlier.<\/p>\n<p>The cuts follow several projects intended to improve how the mills use their timber. At Iggesund, Holmen completed a multi-year modernisation in June 2025, including new drying equipment, log sorting, planing and changes to the saw line. The work enabled the mill to process more species and produce a wider range of products.<\/p>\n<p>At Bygdsiljum, an investment announced in April 2025 involved replacing an older continuous kiln with four batch kilns and upgrading the drying controls. The aim was to improve quality and make production planning more flexible.<\/p>\n<div style=\"max-width: 900px; margin: 28px auto; font-family: Arial,Helvetica,sans-serif; color: #202020; background: #ffffff;\">\n<div style=\"width: 44px; height: 4px; background: #d71920; margin-bottom: 12px;\"><\/div>\n<h3 style=\"margin: 0 0 6px; font-size: 23px; line-height: 1.2; font-weight: bold;\">Holmen\u2019s sawmill business: recent developments<\/h3>\n<p style=\"margin: 0 0 16px; font-size: 13px; line-height: 1.5; color: #666666;\">Production cuts, investment projects and the latest Wood Products results<\/p>\n<div style=\"overflow-x: auto;\">\n<table style=\"width: 100%; border-collapse: collapse; font-size: 13px; line-height: 1.5; border-top: 2px solid #202020; border-bottom: 2px solid #202020;\">\n<thead>\n<tr>\n<th style=\"padding: 10px; border: 1px solid #cccccc; text-align: left; width: 110px; white-space: nowrap; background: #ffffff;\">Date<\/th>\n<th style=\"padding: 10px; border: 1px solid #cccccc; text-align: left; width: 145px; background: #ffffff;\">Site \/ division<\/th>\n<th style=\"padding: 10px; border: 1px solid #cccccc; text-align: left; background: #ffffff;\">Development<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr style=\"background: #fff2ef;\">\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/old.skogsaktuellt.se\/artikel\/2240915\/holmen-lgger-ned-sgverksamheten-i-kroksjn.html\" target=\"_blank\" rel=\"noopener noreferrer\">3 Nov 2026<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Kroksj\u00f6n<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\"><strong>Sawing to end; around 50 jobs affected.<\/strong> Planing, painting, treatment and finger-jointing will remain, supplied by Bygdsiljum. Transition planned by <strong>1 March 2027<\/strong>.<\/td>\n<\/tr>\n<tr>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/attachment.news.eu.nasdaq.com\/a73cac3086015b75843c6c3eb108fd385\" target=\"_blank\" rel=\"noopener noreferrer\">22 Oct 2026<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Produse din lemn<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\">Nine-month operating loss of <strong>SEK 170m<\/strong>; deliveries down <strong>4.7% to 943,000 m\u00b3<\/strong>. The third-quarter loss narrowed to SEK 23m as log costs fell.<\/td>\n<\/tr>\n<tr>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/www.svt.se\/nyheter\/lokalt\/ost\/holmen-minskar-produktionen-vid-linghems-sagverk\" target=\"_blank\" rel=\"noopener noreferrer\">31 Aug 2026<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Linghem<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\">Annual production to fall from <strong>72,000 to approximately 26,000 m\u00b3<\/strong>, a reduction of almost <strong>64%<\/strong>. Around 18 jobs affected.<\/td>\n<\/tr>\n<tr>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/www.woodnet.se\/article\/view\/1217744\/holmen_varslar_i_bygdsiljum_tuffare_lage\" target=\"_blank\" rel=\"noopener noreferrer\">18 Mar 2026<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Bygdsiljum<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\">Redundancy notices affecting <strong>16 workers<\/strong>, following production reductions introduced in summer 2025.<\/td>\n<\/tr>\n<tr>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/www.holmen.com\/en\/woodproducts\/about-holmen-woodproducts\/newsroom\/successful-launch-for-lodgepole-pine\/\" target=\"_blank\" rel=\"noopener noreferrer\">15 Dec 2025<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Iggesund \/ Linghem<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\">Holmen reports commercial processing of <strong>lodgepole pine<\/strong>, with structural products intended for the US and packaging boards for Europe and North Africa.<\/td>\n<\/tr>\n<tr>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/www.holmen.com\/en\/woodproducts\/about-holmen-woodproducts\/newsroom\/modernisation-of-iggesund-sawmill-complete\/\" target=\"_blank\" rel=\"noopener noreferrer\">13 Jun 2025<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Iggesund<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\">Completion of a multi-year modernisation covering <strong>drying, log sorting, planing and the saw line<\/strong>, expanding the mill\u2019s product and species range.<\/td>\n<\/tr>\n<tr>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top; white-space: nowrap;\"><a style=\"color: #202020; text-decoration: underline;\" href=\"https:\/\/news.cision.com\/valutec\/r\/bygdsiljums-sawmill-invests-in-batch-kilns-from-swedish-valutec,c4141834\" target=\"_blank\" rel=\"noopener noreferrer\">29 Apr 2025<\/a><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc; vertical-align: top;\"><strong>Bygdsiljum<\/strong><\/td>\n<td style=\"padding: 10px; border: 1px solid #cccccc;\">Investment announced in <strong>four batch kilns<\/strong> to replace an older continuous kiln, alongside upgraded controls to improve drying quality and flexibility.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p style=\"margin: 5px 0 0; font-size: 11px; font-weight: bold; letter-spacing: 0.3px; color: #202020;\">GWMI<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Holmen is preparing another reduction in its Swedish sawmill operations as weak construction demand and pressure on timber supplies continue to weigh on profitability.<\/p>","protected":false},"author":1,"featured_media":100526,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"Default","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[5204],"tags":[],"class_list":["post-100525","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.7 - 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