Facing declining demand for publication paper and rising production costs, Norske Skog has announced a series of efficiency and cost-reduction measures aimed at improving profitability and competitiveness.
The Norwegian company, which continues to diversify into the growing packaging sector, has completed a full review of its cost structure, identifying opportunities to optimize operations and reduce expenses.
The plan includes a gradual reduction of around 200 positions across the group by 2027. The downsizing will mainly affect operational and support functions through natural attrition and hiring freezes, without impacting production capacity or customer deliveries.
“This reduction will significantly lower our costs and strengthen Norske Skog’s competitiveness,” said Geir Drangsland, President and CEO. “We will enhance profitability while maintaining high-quality products for our publication and packaging customers.”
These measures come amid market overcapacity, low margins, and inflationary pressure on energy and raw materials that continue to challenge the European paper industry.
Headquartered in Norway, Norske Skog is a leading European producer of publication and packaging paper, operating four industrial sites with around 1,700 employees. Listed on the Oslo Stock Exchange (NSKOG), the company continues its transformation toward higher-growth, higher-margin markets.
