UPM Raflatac to Close Kaltenkirchen Factory to Boost Efficiency and Competitiveness

UPM Raflatac to Close Kaltenkirchen Factory



In a significant move aimed at enhancing productivity and operational efficiency, UPM Raflatac has announced the planned permanent closure of its Kaltenkirchen factory located in Germany. This decision reflects the company's strategic efforts to boost competitiveness within the fast-evolving label materials market.

Scheduled for implementation throughout 2025, the closure is expected to affect approximately 154 employees at the site. UPM Raflatac has committed to handling this transition thoughtfully, focusing on maintaining service quality and customer satisfaction. The activities currently conducted in Kaltenkirchen will be streamlined, with production transferring to UPM’s facilities in Poland and Finland. Specifically, the graphics solutions arm of the business will shift operations to the company’s Belgian factory during the course of 2025.

Tim Kirchen, Executive Vice President of UPM Raflatac, emphasized the positive outcomes expected from this realignment. “The overarching goal of these changes is to accelerate our growth in the Films and Graphics sector. By centralizing our production in more cost-effective facilities, we can significantly improve both the efficiency of our costs and the quality of our products,” he stated. This restructuring aims not only to enhance profitability but also to leverage synergies across UPM Raflatac’s diverse manufacturing capabilities.

As the demand for label materials continues to grow, UPM Raflatac is positioning itself to be a leader in this space by optimizing its production lines. The company operates 13 factories globally, providing high-quality self-adhesive products that cater to various industries. With annual sales nearing EUR 1.5 billion (approximately USD 1.6 billion) for the year 2023, UPM Raflatac is a crucial part of UPM Kymmene Corporation’s portfolio, reflecting the group’s commitment to innovation and sustainability in label solutions.

The transition will see major enhancements in both the quality of products offered and the service capabilities available to customers. By focusing on more competitive production sites, UPM Raflatac aims to meet the increasing standards expected in the market while remaining fiscally responsible.

UPM Raflatac’s eventful journey will continue as they work towards a sustainable future in label manufacturing. With plans to maintain excellence during this transition, the brand is in a prime position to emerge stronger and more competitive than ever.

For media inquiries or further information about the forthcoming changes at UPM Raflatac, Tim Kirchen can be reached at +358 40 588 3284. More insights about UPM Raflatac’s innovative and sustainable practices can be found on their official website: UPM Raflatac.

This restructuring is part of a broader commitment by UPM to create renewable and responsible solutions across its extensive range of business areas, signifying a future that prioritizes environmental integrity and innovation. With a workforce of approximately 16,600 employees worldwide and annual sales nearing EUR 10.5 billion, UPM is indeed on a path crafted with responsibility and growth in mind.

Topics General Business)

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