New facility increases output per log and targets 450,000 m3 annual capacity as demand grows in Sweden and abroad.

Machinery

Derome launches new $56 million sawmill line in Sweden to expand output

Derome launches new $56 million sawmill line in Sweden to expand output

Image: Derome’s newly inaugurated sawmill line in Sweden, now in full operation, increases timber yield by optimizing each log for maximum lumber output / Derome

Derome has launched production on one of the world’s most advanced sawmill lines in Sweden, completing a strategic investment of more than 600 million kronor (approximately $56 million) aimed at increasing timber processing efficiency and supporting low-emission construction. The new line, supplied by Linck Holzverarbeitungstechnik GmbH and located in Derome where the company was founded in 1946, significantly boosts lumber yield from each log, according to Derome Timber.

The upgrade is part of a larger modernization project that began in 2022 and is set to continue through 2024. As part of the project, new equipment has been installed for the log intake, sawline, and sorting line, provided respectively by Hedlunds, Linck, and CGV. Drying systems are supplied by Valutec. The facility aims to increase its annual production to 450,000 m³ in the initial phase, with a longer-term goal of reaching 550,000 m³.

Derome states that this expansion will help secure access to sawn timber as demand continues to rise both in Sweden and in export markets. The company sees the investment as timely, supporting a transition to renewable construction materials. Per Andersson, development director at Derome Timber, highlights that the project will enhance production efficiency and maximize the use of each tree harvested.

Derome emphasizes that this development is part of a broader reinvestment strategy across its full value chain, from forestry operations to housing construction. CEO Linda Andersson notes that the investment reinforces both environmental and economic performance by increasing yield while supporting renewable building practices.