Setra Sustainability Report 2020

Page 14

14 | OUR PORTFOLIO

Our portfolio Our wood products are made of renewable material, thus contributing to the transition to a sustainable society.

Our opportunities and challenges As a manufacturer of renewable products for the construction and wood industry, we and our customers are participating actively in the climate transition of the construction sector. Increasing the use of wood as a construction material is one of Setra’s core aims, given that wood is not only a renewable raw material, but also binds carbon dioxide throughout its life cycle. The challenge facing us is to deliver competitive products and solutions that make it simple to choose wood rather than other materials such as steel and concrete, which leave a deeper climate footprint.

Our strategy is to gradually increase the share of processed wood products over the coming years. In 2020, the first construction element in CLT left our Långshyttan factory for installation in new, climate-smart apartment blocks. The first deliveries of planed construction timber were also shipped from our newly started trimming and planing line in Hasselfors. In Gävle, we will start working with Preem on the production of bio-oil from sawdust in 2021, thus contributing to the development of new renewable fuel.

Where Setra’s products go (percentage of sales) 15%

Bioproducts

75%

Sawn wood products

10%

Processed wood products

How we work A broad product range Setra’s product range encompasses everything from sawn wood products and planed construction timber to highly processed products such as door and window components and complete building solutions. Our range also includes bioproducts such as bark, sawdust and woodchips. Wood is the only renewable construction material and demand for processed wood products for construction is on the rise. We manufacture climate-smart and highly processed wood products for the construction industry in Sweden and around the world. Our products are used for building and construction, as well as in the paper and energy industries and as a raw material for biofuel.

Sustainability Report 2020 — Setra Group

Sawn wood products Sawn pine and spruce products are important export goods, accounting for the majority of Setra’s sales. Planks and boards from our sawmills form part of everything from furniture to furnishings and packaging, while strength-graded construction timber is used in construction projects all over the world. Our biggest markets are Sweden, Europe, North Africa, the Middle East and Asia. Our customers are primarily to be found in the wood processing industry: planing mills, CLT manufacturers, house builders and packaging producers, for example. Pine is easy to process and is often used for products where the wood is to remain visible,

such as floors, furniture and doors, as well as for pressure-impregnated products such as decking. Spruce is the most commonly used wood in building and construction projects on account of its impressive durability. It is used in glulam and CLT, for example. Processed wood products. We have expanded our range of processed products over the course of 2020, and it now includes construction solutions in CLT and glulam, planed construction timber, decking, joists and components for doors and windows. Setra supplies a complete solution in CLT and glulam for construction projects, where a project team accompanies the customer through all phases of the process. The solid, cross-laminated timber panels in planed wood are industrially manufactured with great precision and adapted at the factory to facilitate assembly at the construction site. Cross-laminated timber is a rigid material with a high load-bearing capacity, which makes it particularly well-suited to large constructions such as apartment blocks, office buildings and schools. The construction solutions are principally marketed to construction companies and building pre-fabricators in Sweden and the rest of Scandinavia. In addition to the frame material, Setra provides technical expertise and guidance in the areas of project planning, construction solutions, logistics and transport. Setra sells glulam products as a standard range via builders’ merchants and as bespoke solutions sold directly to building developers, wood industries and builders' merchants, primarily in Sweden and the rest of Scandinavia. Setra also sells “standardised halls” in glulam for industrial, warehouse and agricultural applications, and in


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