Metsä Group Invests €25 Million in New Muoto Fiber Packaging Production Line
Metsä Group is investing €25 million in a new production line for its Muoto fiber packaging solution at its mill site in Äänekoski, Finland. The facility is expected to begin operations in 2028, with a nominal production capacity of more than 100 million products annually.
Developed by Metsä Group, Muoto is a fiber-based packaging solution designed to provide an alternative to plastic in demanding food and serving applications. The products are manufactured directly from wet wood pulp, eliminating intermediate processing steps, and are made using wood fibers sourced by Metsä.
New Production Capacity in Äänekoski
The new Muoto production line will be built next to the company’s existing demonstration plant at the Äänekoski mill site. The investment will be made in Äänekoski rather than Rauma, where the project was previously planned, due to the availability of existing infrastructure, the current Muoto production line and overall investment costs.
Technology company Valmet will supply the new production line.
Niklas von Weymarn, CEO of Metsä Spring, said the company has developed a competitive production concept aimed at meeting growing demand for fossil-free packaging solutions. He added that Muoto offers opportunities for collaboration across the packaging value chain.
According to Metsä Group, Muoto packaging combines stiffness, functionality and low weight, making it suitable for applications where conventional fiber packaging may face performance challenges. The company also expects the European Union’s Packaging and Packaging Waste Regulation to support demand for alternatives to plastic.
Kuura Textile Fiber Investment Halted
Alongside the Muoto investment, Metsä Group announced that its planned Kuura textile fiber mill in Kemi, Finland, will not proceed in its current form.
The company said significant overcapacity has emerged in the global market for man-made cellulosic fibers, particularly in Asia, where new production capacity has expanded rapidly. This has weakened the competitiveness of responsibly produced, high-quality textile fibers, while relatively few customers are currently willing to pay a premium for such materials.
Metsä Group said the Kuura project no longer has the necessary market conditions to move forward. However, the company plans to explore opportunities to make use of the expertise and technology developed through the textile fiber project.
The latest investment strengthens Metsä Group’s focus on fiber-based packaging innovation, while reflecting the changing market conditions facing new textile fiber production.
