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Latvijas Finieris expands plywood capacity in Latgale through Verems
The Latvijas Finieris group has launched a new large-format birch plywood production line in eastern Latvia through its subsidiary Verems RSEZ SIA, located in the RΔzekne Special Economic Zone.
The facility is currently operating in test mode, with final commissioning still underway. The project forms part of a broader, phased investment programme at group level.
Confirmed state aid amounts to β¬10 million.
The group refers to a total projected investment envelope exceeding β¬100 million, representing the upper range of planned capital expenditure rather than a fully completed investment.
Markets and production
The expanded capacity targets large-format birch plywood products used in:
transport equipment, including LNG carrier construction,
automotive manufacturing,
construction formwork.
Exports are primarily oriented toward European markets, with additional deliveries to Asia.
Raw material sourcing
Birch veneer supply will be managed at group level, with Verems relying mainly on internal production and supplementary deliveries from LikmerΔ in Lithuania, another production unit within the Latvijas Finieris group.
This intra-group sourcing approach reduces operational risk but underscores the structural importance of regional birch availability as plywood capacity expands across the Baltics.
Employment and outlook
The new production line is expected to increase employment at Verems by around 80 positions.
Further investments are possible, though on a more limited scale, depending on market conditions and capacity utilisation once the facility reaches full operation.
Context (Baltic Focus)
This case reflects a group-driven industrial expansion, where a tangible production asset is already in place, while the full scale and timing of investment outlays remain flexible. The actual economic impact will depend on utilisation rates, export demand and raw material flows over the next cycle.
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