Steico set for major expansion with new factory

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“Two lines will be built for flexible wood fibre insulation mats, with a combined total annual capacity of over one million cubic metres,” the company said in a statement. “Another line with an annual capacity of around 500,000 cubic metres will produce stable wood fibre insulation boards using the dry process.”

Construction on the €75 million plant is scheduled to start in mid 2021, with insulation production set to begin at the end of 2022. “The possibility of further expanding capacity in future is already included in the current project design,” the company added.

The Gromadka facility is located about 70 km east of Görlitz on the A4 motorway, and is part of a former airport that is being converted into an industrial estate. Steico acquired the site in November 2020.

Steico said that it is responding to the “rapidly increasing demand for wood fibre insulating materials” by expanding its manufacturing facilities. This includes expansion of production capacity for a range of product lines — including flexible, rigid and air-blown wood fibre insulation — at its existing manufacturing facilities in France and Poland.

“The Steico Group aims to use these investments to significantly expand its position as the global market leader for wood fibre insulation materials, and to continue the profitable growth it has enjoyed to date,” the company said.