Setra has decided to start negotiations under the Swedish Co-determination Act (MBL) relating to the closure of the Horndal sawmill in Avesta municipality. A weak earnings development, a falling market for Horndal’s special product range and major investment needs are the background to this decision. Approximately 35 employees are affected.
Horndal is a special sawmill for so-called veneer logs, high-quality butt logs from slow-grown pine. The products have traditionally mainly been sold as unedged wood products as well as window frames to small furniture and window joineries throughout Europe.

“The market for Horndal’s high-quality special products is shrinking due to structural changes in the customer base,” says Setra’s President and CEO, Börje Bengtsson. “As small specialised joineries disappear as customers, the previously profitable special product range accounts for an ever diminishing share of sales from Horndal.

“Earnings development for the Horndal sawmill has been...