CMPC invests $92.6M in wood operations in Biobío

Empresas CMPC is advancing $92.6 million in investments across two facilities in Chile's Biobío Region. The projects aim to modernise processes, expand production capacity, and increase output of higher-value-added wood products.

The company is directing $72 million to its Los Ángeles remanufacturing plant to convert sawn timber into panels and mouldings. Roughly $33 million will go toward new equipment for automatic cutting, planing, pressing, moulding finishing, and finger-joint lines. Another $20.6 million is designated for the Mulchén sawmill, raising its annual capacity by nearly 9% from roughly 335,000 to 365,000 cubic metres while upgrading debarking, sawing, and drying systems.

These wood investments follow an agreement to sell CMPC's Chilean corrugated packaging business to Smurfit Westrock for $420 million. That sale includes Envases Impresos Cordillera and Chimolsa, and remains subject to approval by Chile's antitrust regulator, the Fiscalía Nacional Económica (FNE). CEO Francisco Ruiz-Tagle explained that the divestment allows CMPC to focus resources on areas with greater scale and competitive advantages.

The Biobío projects are part of a two-year investment plan exceeding $1 billion, covering forestry plantations, competitiveness upgrades, and pulp, forestry, and consumer goods operations through Softys. Vice President of Wood and Packaging Matías Lagos stated that the investments reflect a long-term strategy to expand higher-value products and strengthen the company's industrial platform.