New investments: What's to come?

Increase in sawmill capacities completed…?

At first glance, it seems that the era of the big investments in sawmills is over now. From 2020 to 2022, almost 4.5 million m³ of cutting capacity were added in southern Germany, Austria and the Czech Republic. Baruth/DE, Kundl, Leoben, Meßkirch/DE, Oberrot/DE, Preding, Steti/CZ, Summerau, Tomasovce/SK, Wilburgstetten/DE, Wunsiedel/DE – not all of these were newly built sawmills, but, in the very least, they were investments in substantial increases in capacity.

No. Cutting to increase by 2.4 million m³

Nevertheless, expansion in the sawmill industry is far from over. According to the Holzkurier’s editorial team, the new cutting capacities in Central Europe add up to almost 2.4 million m³ a year. What you don’t find is large-scale new building projects. Rather, some sawmills will be able to increase their cutting volume in the next two years once the respective projects are completed.

What stands out is that there are companies

• which are substantially modernizing their sawmills: ante-holz (Rötenbach), Deligno (Zollbrück/CH), Mayr-Melnhof Holz (€60 million; Leoben), Mosser Holzindustrie, Pfeifer Holding (Uelzen), Rettenmeier Group (in Latvia), Sarner Holz, Schaffer Holz, SIAT, Gebrüder Steininger, Tschopp Holzindustrie and X Timber,
• which are building another sawmill at a new location: Kirnbauer Holzindustrie,
• which are complete newcomers, like Full Property or the Uffer Group (Resurses) in Switzerland.

Forest owners and timber construction companies as sawmillers

Mayr-Melnhof is a prominent sawmill newcomer in Austria: Friedrich Mayr-Melnhof, Kogl Forestry Administration, is currently putting a small sawmill into operation in St. Georgen im Attergau, which will also use wood waste for energy generation. The timber construction company and glulam manufacturer Unterrainer from Ainet is on the list of newcomers, too. In the summer, Leonhard Unterrainer started up a "one-employee sawmill".

It is still unclear what the Heinzel Group plans to do with the sawmill in Steyrermühl. On January 1, the company will take over the site from UPM. The existing cutting line in the sawmill is 20 years old. If the pulp and paper manufacturer is serious about backward integration, the sawmill will likely be modernized.

Global sawmill projects

In addition, there are installations of Central European companies at a global level: Binderholz is going to put the modernized sawing line in Enfield/US into operation this year, while HS-Timber is cutting the first logs in its mill in Argentina. It remains to be seen what will happen to HS-Timber’s sawmill in Belarus.

In southern Austria, two smaller special sawmills are still being planned. It will probably take a few more years until the construction start.

The hardwood sector is investing, too

It is not only the softwood sector that is building new sawmills. Wibeba has purchased a new sawmill in Hungary. At the Szenta site, a new cutting line for hardwood is being planned. Despite the planning phase being completed, Pollmeier Massivholz is putting its fourth sawmill on the back burner for the time being. "We will only announce the start date for the new sawmill once the weak phase is over," owner Ralf Pollmeier comments.

Exceptional CLT production in Leoben

Cross-laminated timber was the product with the biggest increase in demand over the past two decades. Mayr-Melnhof Holz’s production site in Leoben, which was launched this year, is unique in terms of its size and investment volume. Around €175 million were invested to obtain a production capacity of up to 140,000 m³ a year. The Holzkurier’s editorial team describes this plant as the current "technological gold standard in CLT production worldwide".

Like Mayr-Melnhof Holz in Leoben, best wood Schneider in Meßkirch/DE, Mosser Leimholz in Randegg and Ziegler in Hermsdorf are also launching CLT productions this year.

More new CLT production sites

Among the 100 projects we selected and in addition to the ones just mentioned, there are five more new CLT production sites, following the launch of four plants this year. Cltech and Holzbau Driendl are both German newcomers. ante holz also announced that it plans to focus more on CLT in Rötenbach. In 2024, Schilliger Holz will put a CLT production into operation in Volglsheim which will have an annual capacity of 50,000 m³. Apart from these projects, no investments in new CLT productions are known at the moment. The Ziegler Group has postponed the investment in two CLT plants (capacity: 75,000 m³ each) in Tirschenreuth. Jarovice in Pteni/CZ was planning a CLT production – which will not be built for the time being, though.

(Almost) all quiet on the glulam and KVH front

When it comes to solid structural timber (only Holz Hahn, Rappottenstein) and glulam (also Holz Hahn; HS Timber, Kodersdorf; Mayr-Melnhof Holz, Reuthe), comparatively little new capacities will be added.

15 new pellet mills

In pellet production, the expansion boom is not over yet. Among the 100 projects on the map, there are twelve more projects involving either new pellet mills or the expansion of existing ones – that makes a total of 15. The largest pellet mills will be launched by Holzindustrie Tilly in Treibach-Althofen and by IBV in Vielsalm/BE. In the future, Stallinger Holding will also be able to produce around 120,000 t in Frankenmarkt. Tschopp Holzindustrie will increase its capacity by 60,000 t to 180,000 t a year. Nawaro will have a similar capacity in Göpfritz. Other companies will also substantially increase their potential output: ante-holz in Rottleberode and Rötenbach, Holzindustrie Hassel, Holzindustrie Ladenburger in Kerkingen, IBV in Vielsalm/BE and Mayr-Melnhof Holz in Reuthe.

Several investments in wood fiber insulation

In the wood fiber insulation segment, three more production sites are added. Last year, the Ziegler Group started a €150 million plant for the production of wood fiber insulation boards in Grafenwoehr. Gutex put its site into operation in Eschbach, following an investment of €100 million. Schilliger Holz is also planning to manufacture wood fiber insulation boards near its headquarters in Küssnacht/CH.

In 2025, Sonae Arauco plans to launch a production facility in Meppen (investment: more than €100 million). Schneider’s wood fiber insulation board plant in Hermagor is off the table.

Marked increase in prefabrication

Prefabrication in timber construction is often referred to as the trend of the future. A lot is happening in this area, especially in Germany and often with Swiss companies being involved. One example – and the biggest one at that – is Nokera. The company plans to generate €500 million in sales this year. Blumer-Lehmann, Erne Holzbau and Renggli are three other Swiss companies which had a prominent start in Germany.

B-Solution in Hallein, Gropyus in Riechen, Lignotrend, Rubner with Holzius, Schwörer Haus and Strüby Holzbau have been market participants for some time and are optimizing and expanding their productions.

Large-scale project postponed

Actually, we would have expected to be talking about the 3000-house-a-year-project of the Ziegler Group in Tirschenreuth, as it would have been one of the largest new construction projects in prefabricated house segment. However, it seems that this project is currently on hold – both the detailed planning and the start of production are still unclear.

Kaufmann/purelivin shows what is possible in this segment: The Vorarlberg-based company received a major order worth €240 million from Germany. By September 2025, all modules for the student dormitory in Rostock are to be completed.

Homann Holzwerkstoffe, Egger and Swiss Krono are “representing” the wood-based panel sector.

OSB: Massive increase in capacity

Swiss Krono will increase its OSB production capacity in Poland from 430,000 to 480,000 m³ a year by the end of 2023. Expansions of other sites, which are scheduled go into operation in 2024, are underway at the sites in Sully-sur-Loire/FR and Vásárosnamény/HU. "It is likely that we will build a new OSB plant in the southwest of France in the next two to three years," Swiss Krono’s CEO Martin Brettenthaler explains.