Metsä Group will invest approximately €25 million in a new production line for its Muoto™ fibre-based food packaging at its Äänekoski mill site in Finland.
Scheduled to begin operations in 2028, the line will have a nominal annual capacity of more than 100 million products. Valmet will supply the production technology.
Muoto packaging is made directly from wet wood pulp using Metsä Group’s own wood fibres, without intermediate processing stages. The material combines stiffness, functionality and low weight, and can be shaped for a range of applications, including demanding food and food-service packaging.
Metsä Group sees the technology as a potential alternative to plastic in selected product categories as demand grows for packaging solutions based on renewable raw materials.
“We’ve developed a competitive product and production concept for Muoto packaging that responds to the growing demand for fossil-free packaging solutions,” said Niklas von Weymarn, CEO of Metsä Spring, the group’s innovation company.
Metsä Group said Muoto products are positioned to meet the requirements of the European Union’s Packaging and Packaging Waste Regulation, which it expects to support demand for fibre-based alternatives.
Äänekoski Selected Over Rauma
Metsä Group selected Äänekoski over Rauma for the investment, citing the site’s infrastructure, the presence of its existing Muoto demonstration line and overall investment costs.
The commercial-scale line will be installed beside the demonstration plant at the Äänekoski mill complex. The project is intended to move Muoto closer to full-scale commercialization while supporting Metsä Group’s efforts to develop new packaging applications with partners across the value chain.
Kuura Textile Fibre Investment Cancelled
Alongside the Muoto announcement, Metsä Group confirmed that it will not proceed with its planned Kuura textile fibre mill in Kemi, Finland.
The company attributed the decision to significant global overcapacity in man-made cellulosic fibres, particularly after the addition of new production capacity in Asia. Metsä Group said the market currently offers limited opportunities to secure a premium for high-quality fibres produced under more responsible conditions.
As a result, the Kuura project is no longer considered viable in its current form. Metsä Group is nevertheless examining ways to use the textile-fibre expertise developed through the project.
Metsä Group said development work on its lignin product and carbon-capture initiatives will continue as planned.
Metsä Group operates in pulp, paperboard, tissue and greaseproof papers, wood products, and forest services. Its parent company, Metsäliitto Cooperative, is owned by approximately 90,000 Finnish forest owners. The group recorded sales of €5.8 billion in 2025 and employs about 8,800 people.
