Stora Enso plans to close Veitsiluoto sawmill

Stora Enso plans to permanently close its Veitsiluoto sawmill in Kemi and move pine-sawing production mainly to Oulu and Kalajoki, Finnish broadcaster Yle reports.

The company has begun change negotiations concerning about 60 employees at the sawmill. The negotiations are expected to last three weeks.

Under the current plan, the Veitsiluoto sawmill would not resume operations after its layoff period ends in early October. No decisions on the closure or staff reductions will be made before the negotiations are completed.

Stora Enso says the planned consolidation aims to improve efficiency, profitability and competitiveness. The plans would have little effect on the Oulu business unit’s wood consumption.

The Veitsiluoto mill is part of Stora Enso’s Oulu business unit, which also includes a cardboard mill, a sawmill and port operations in Oulu, as well as sawmills in Oulainen and Kalajoki. The business unit currently employs about 900 people.