UPM plans to close the Plattling plant in Germany and reduce annual capacity by 595,000 tons

UPM plans to close the Plattling plant in Germany and reduce annual capacity by 595,000 tons

UPM Communication Papers plans to close the Plattling paper mill in Germany and the reduction of production capacity for unproceeded and painted publication papers by a total of 595,000 tons in Europe. The closure of the paper mill in Plattling would permanently reduce annual production capacities of unreal and painted publication papers by 380,000 or 215,000 tons. This step is an answer to the declining market for graphic papers, the demand of which has decreased continuously in the past 15 years and is expected to continue to decrease.

The planned closure of the PLASTLING paper mill would have an impact on 401 employees on site and on the service providers in the region. The participation of employee representatives is accepted in accordance with national legislation.

UPM Communication Papers emphasizes that these measures are necessary to secure the company's competitiveness and to adapt the production of graphic papers to the falling customer demand. The long -term planning of production factors such as energy supply plays a crucial role. The production facilities of UPM in Germany are currently facing major challenges in relation to safe, reliable and competitive energy supply.

UPM Communication Papers emphasizes responsibility towards employees and customers and will work out solutions for the staff together with the works council. The planned measures would also enable the general cost competitiveness of UPM Communication Papers and annual cost savings of EUR 60 million.

The continuation of the temporary exemptions of employees in Finland is also planned. Around 1,100 employees are affected by these measures. The final decision on the continuation of the exemptions is made after negotiations with the employee representatives.

UPM Communication Papers is the world's leading manufacturer of graphic papers and offers its customers a wide range of products from the advertising industry, the publishing house and the areas of home and office. The company attaches great importance to environmental protection and social responsibility. UPM Communication Papers employs around 6,300 people and has its headquarters in Germany.

The planned closure of the PLASTLING paper mill would require provisions of EUR 122 million. The implementation of the measures aims to ensure the long -term sustainability of the paper production of UPM Communication Papers. The planned closure and the continuation of the temporary exemptions of employees in Finland are part of these efforts.

For more information, interested people can contact UPM Communication Papers Stakeholder Relations or Gerhard Mayer, Process Lead.