Thursday, June 19, 2025
Fiberwood Ltd, a Finnish deep tech startup, has received $3 million in financing from the EU LIFE Program to lower the carbon impact of buildings. With the award, the company will expand its use of wood industry byproducts to create sustainable insulating solutions and hasten its entry into larger European markets. “We believe forests deserve smarter use,” states CEO Tage Johansson. He further adds, “We’re turning side streams into something more valuable.”
Hand out
Fiberwood contributes to the forestry industry and encourages the cyclical use of timber by turning recyclable wood and mechanical wood leftovers into high-performance components. Its recyclable, plastic-free fibre boards can help the EU make the switch to low-emission building practices by taking the place of insulation made from fossil fuels in construction. 42 % of greenhouse gas emissions worldwide are attributable to the construction industry. More than 98% of the insulating materials used in the EU still come from fossil fuels and wind up in landfills or the environment. Despite the growing need for more environmentally friendly options, many bio-based solutions don’t meet technical standards.
Fiberwood seeks to close that disparity. The company, which was founded in 2019, has created a proprietary method that allows it to create recyclable and compostable boards with long-lasting materials, structural durability, fire safety, moisture resistance, and thermal performance. This unique combination creates new opportunities for environmentally friendly design. “We believe forests deserve smarter use,” notes Johansson. “We’re turning side streams into high-performance materials that meet real construction needs while reducing environmental impact.”
In Järvenpää, southern Finland, Fiberwood is constructing a demonstration production line to facilitate delivery for pilot projects for clients. Fiberwood’s first industrial-scale factory blueprint is the result of production optimisation, additional side-stream validation, and final performance testing funded by the $3 million EU LIFE grant. Among the company’s business-to-business clients are top building material suppliers in the Nordic and European markets. The fibre components will be incorporated into their current products, which they will market under their names. “This is a turning point,” Johansson comments. “Our material allows customers to make a sustainable leap without changing how they design or sell their products, giving them a competitive edge with minimal disruption.” Fiberwood raised $10 million from investors such as Metsä Spring, Stephen Industries, and state innovation funds prior to obtaining LIFE funding. The business is looking for partners throughout the European building value chain as it gets ready to expand internationally.
About Fiberwood
Fiberwood is a materials technology start-up that uses natural fibres and forest industry byproducts to create insulation and packaging materials for the building sector that don’t need fossil fuels. By turning waste into recyclable and carbon-sequestering useful materials for a variety of uses, the Group unleashes the potential of waste. They provide environmentally friendly substitutes for mineral wool and cellular plastic-based insulation and package cushioning with their permeable, recyclable, and compostable insulation and protection goods. At the moment, Fiberwood is working closely with strategic clients on product development projects. On its pilot plant in Finland, it produces product samples for a range of test projects. In 2024, they want to start building a prototype manufacturing line in order to complete their product concept, guarantee industrial scalability, and expedite research and development.
Fiberwood can manufacture goods for clients’ projects that are completely suitable for the commercial market. In 2025, commercial production is scheduled to start. Around 2027, they plan to advance to a factory-scale production line. They welcome new business partnerships and product development initiatives both domestically and abroad.
Read more news on: insulation, forestry, timber, fibreboard, fossil fuels, construction, materials, packaging
Get such updates through the American woodworking industry website: woodandpanel.us
Tags: #1 wood news, #1 woodworking magazine, best wood magazine, best wood news, biodegradable packaging, byproducts, carbon-neutral materials, circular economy, clean technology, compostable boards, compostable materials, eco-conscious packaging, eco-friendly materials, environmentally friendly, European construction industry news, fiber innovation, fiber-based packaging, Fiberwood Ltd, Finland, Finnish forestry industry news, forest industry byproducts, Forestry 4.0, fossil fuels, green packaging solutions, insulating solutions, insulation, material technology, natural fiber, packaging materials, plastic-free packaging, recyclable fibreboards, recyclable packaging, recyclable wood, renewable resources, responsible manufacturing, sustainability, sustainable alternatives, sustainable insulating solutions, sustainable packaging, value chain, wood, wood and panel, wood fiber packaging, woodworking, woodworking and manufacturing, woodworking and processing, woodworking industry, zero waste packaging
Comments: