Kaunas Metal is to establish itself in northern Sweden and Torsboda is one of two locations that the company is interested in for its new plant where recycled steel will be turned into rebar. On June 19, Torsboda Industrial Park and Kaunas Metal signed a Letter of Intent and work towards an agreement on establishment is intensified.
- We are proud to be in the game and we have good opportunities to get the establishment here to us, says Stefan Dalin (S), chairman of the municipal board of Timrå and chairman of Torsboda Industrial Park. The fact that the company will use recycled steel and make the manufacturing process for rebar more sustainable means that they are a company we would like to see take place in our area.
Last week it became clear that Umeå is the second location the company is looking at and with them too the company has signed a Letter of Intent, LOI. This is a document that shows that the parties agree to negotiate, but does not guarantee a future agreement.
Up to 300 jobs
Kaunas Metal is a Lithuanian company that so far only has production in its home country. The establishment in Sweden means between 200 and 300 jobs in an industrial plant where recycled steel is melted down and turned into rebar.
Robertas Buckus, CEO of Kaunas Metal, sees that the Sundsvall region has the conditions the company is looking for. Electricity from water and wind power means that their end product can be produced in a more sustainable way, which the construction industry demands.
- We will look further at Torsboda and Umeå, which both look like very good options for us. Before the end of the year, we expect to have decided," says Robertas Buckus.
- "This is a further step towards a stronger Sundsvall region," says Niklas Säwén (S), Chairman of Sundvall Municipal Board and Vice Chairman of Torsboda Industrial Park. "I am convinced that the company sees the power that exists here in the form of people, assets and willingness to develop. Hopefully, further talks will show that the company and the site are right for each other.
Kaunas Metall is interested in buying between 13 and 16 hectares of land. Work is now starting to see where the most suitable site is for their operations. Cain Dotson is a business developer at Torsboda Industrial Park.
- With more stakeholders, we need to put the puzzle wisely on our ground. The contact with Kaunas Metal comes through Västernorrland's establishment function High Coast Invest and this is proof of the value of our long-term cooperation with them and Business Sweden. More international companies that contribute to the green transition have opened their eyes to our region," says Cain Dotson.
In the picture: Robertas Buckus, CEO Kaunas Metal, Stefan Dalin, Chairman Torsboda Industrial Park, Niklas Säwén, Vice Chairman Torsboda Industrial Park, Vaidas Repečka, CFO Kaunas Metal
