UPM has announced its intention to close the Ettringen paper mill in Germany in July 2025, as part of UPM's wider strategy to adjust its production capacity to better meet profitable customer demand and ensure its long-term competitiveness. The closure is a hard blow to the local community, but the company sees it as a necessary step to secure the future.
The closure of the Ettringen mill will reduce annual production capacity for uncoated printing papers by as much as 270 000 tonnes. This is a significant change that will affect not only production volumes but also the company's workforce, as the closure is estimated to affect around 235 jobs at Ettringen. However, UPM will endeavour to provide support and alternatives for those workers who will be affected by this change.
In addition to the closure, UPM has also announced plans to reduce its workforce in Finland. According to the company's plans, 107 jobs will be reduced across the country. These reductions will be accompanied by plans to improve flexibility within the mills and to streamline the organisational structure. This will particularly affect the paper mills in Kauka, Kymi, Rauma and Jämsänkoski.
The adjustment measures in Finland are part of a wider effort to create a more efficient and competitive operational structure. The aim is to ensure that the company's production structures are in line with market demand and future growth objectives. The efficiency measures, including the restructuring of the company's other plants in Augsburg, Schongau, Blandin and Caledonia, are part of a comprehensive strategy.
In addition, UPM sees significant optimisation opportunities in the centralisation of the logistics departments at the German mills. This can be seen as part of UPM's broader efficiency measures aimed at better utilisation of resources and consolidation of operations.
Overall, UPM's objective with these measures is to create a more flexible and efficient organisational structure. The company aims to improve its market competitiveness so that it can respond to changing market conditions and secure a sustainable business future. These planned changes have not been made lightly, but UPM considers them necessary to ensure long-term sustainable growth.
