UPM Specialty Papers announced today a €10 million investment in its Tervasaari mill in Valkeakoski, Finland. The funding will support modernization efforts aimed at increasing production capacity and enhancing process reliability for its specialty paper products, including those used in labels, tapes, and industrial applications.
The planned upgrade involves a rebuild of the paper machine’s drying section and improvements to the mill’s steam system. The project is scheduled for completion by the end of 2026.
“UPM Specialty Papers has over 40 years of experience producing highly demanding specialty papers. This investment underscores our commitment to serving customers in the label, tape and industrial value chains as well as packaging,” said Tomi Lonka, Senior Vice President, Global Specialty Papers at UPM.
This move follows a series of energy-related investments at the same site. Over the past few years, UPM has allocated approximately €20 million toward improving the mill’s energy efficiency. A notable development in this area was the installation of a new electric boiler in 2023.
UPM Tervasaari has long been a key site for producing glassine papers, which are used in label liners and industrial products like double-sided tapes. The mill also produces a range of recyclable papers for flexible packaging.
While the current investment focuses on production stability and capacity, it also aligns with broader industry trends emphasizing sustainability and material efficiency.
With the upgrade, UPM aims to strengthen its position in the specialty paper market by ensuring consistent quality and supply for its industrial and packaging customers worldwide.