Sappi Europe launches consultation process at Alfeld Mill in Germany
Sappi Europe has announced the initiation of a consultation process at its Alfeld Mill in Germany as part of a proposed partial asset restructure. This step is being taken in response to sustained financial challenges and a structural decline in demand across Europe.
Over the past few years, Sappi has taken considerable actions to improve the financial performance of the Alfeld Mill. Despite significantly reducing losses, the complexity of the current product and asset portfolio has limited the mill’s ability to operate sustainably under current and foreseeable market conditions.
To ensure long-term viability, the proposed restructure includes the potential closure of Paper Machine 1, Paper Machine 4, Offline Coater 2 and Sheet Finishing. These measures would enable Sappi to better align production capacity with evolving market demand, reduce operational complexity, and focus production on the most profitable and high-demand segments.
Marco Eikelenboom, CEO of Sappi Europe, stated: “As we respond to evolving market expectations for lower-carbon, resource-efficient materials and work to ensure a competitive and resilient future for our European operations, these difficult decisions are necessary. This step supports our broader commitment to the Clean Industrial Deal, by accelerating the decarbonisation of our mill and adapting our product portfolio to better meet future customer needs and regulatory requirements. By focusing on our most efficient assets, we can strengthen our service offering, enhance sustainability and secure long-term regional viability.”
The proposed restructure supports Sappi Europe’s strategy of optimising its asset base to match evolving customer requirements and sustainability objectives.
The consultation process may impact up to 200 positions at the Alfeld Mill. Sappi remains committed to supporting its employees throughout the process and will work closely with employee representatives to find appropriate solutions.
