Monday, September 22, 2025
Sonae Arauco has launched the world’s first industrial-scale fibreboard recycling line, marking an important breakthrough in sustainable production for the worldwide woodworking sector. The new facility, which is situated in the company’s Mangualde factory, is a huge step towards a truly circular economy in the wood-based panel industry and represents a substantial €8 million investment.
For years, the recycling of Medium-Density Fibreboard (MDF) on an industrial scale has been a persistent challenge for the industry. Unlike particleboard (PB), which has a well-established recycling chain, the glues and complex composition of MDF panels make it difficult to reclaim the wood fibres for reuse in new panels. As a result, end-of-life MDF has often been incinerated for energy or, in less favorable scenarios, sent to landfills. This new technology, however, changes the game entirely. The pioneering line is now capable of transforming used MDF panels into a valuable raw material for the production of new MDF and High-Density Fibreboard (HDF).
According to Rui Correia, CEO of Sonae Arauco, this is not just an investment for his company, but a strategic move for the entire industry. “The introduction of recycled MDF fibres into new panels in an industrial context demonstrates our commitment to promoting circularity and the cascading use of wood,” he stated. The project is an embodiment of the “cascading use” principle, which prioritises keeping wood products in use for as long as possible before they are finally used for energy. With this new line, MDF panels can now have a second life as new furniture, building materials, and interior design products, significantly extending the lifecycle of the wood fibres.
When the new line is fully operational, Sonae Arauco plans to integrate up to 20% recycled MDF fibres into its new panels. This is a crucial metric, as it demonstrates that the recycling process can be scaled to a level that has a meaningful impact on raw material consumption. The company’s commitment to circularity is further evidenced by its broader recycling efforts. In the past year alone, Sonae Arauco valued 809,000 tonnes of recycled wood, increasing the overall incorporation rate in its portfolio to an impressive 33%. In some product categories, particularly its particleboard (PB) ranges, the company already ensures that more than 70% of the wood used is recycled, to push this figure to over 75% in some regions by the end of the year.
The development of this groundbreaking recycling line is part of the larger TransForm project, an initiative funded under the Portuguese Recovery and Resilience Plan (PRR). This plan, part of the EU’s wider NextGenerationEU program, is designed to support a green and digital transition across the European Union. By investing in business innovation and sustainability, Sonae Arauco is directly contributing to Portugal’s economic recovery and environmental goals. The project highlights a successful partnership between the private sector and government-backed initiatives to drive large-scale, transformative change.
The technical innovation behind the new line is a marvel of modern engineering. Developed in collaboration with international technology group ANDRITZ, the line utilises a specialised system based on continuous steam treatment and a unique discharger. This process effectively separates the wood fibres from the binding glues used in MDF, allowing for the reuse of this valuable material. The technology ensures a continuous, energy-efficient operation with minimal steam consumption, making the recycling process not only effective but also highly sustainable. This is a critical factor, as previous recycling methods were often too costly or inefficient to be viable on an industrial scale.
This investment by Sonae Arauco reinforces the idea that innovation is not just about creating new products, but also about reinventing how we use existing resources. For the furniture, construction, and interior design industries, this breakthrough means that their supply chains can become more resilient and their products can be given a more compelling sustainability narrative. It offers a solution to a long-standing challenge and sets a new benchmark for the entire wood-based panel sector, challenging other manufacturers to follow suit.
In a world where consumers and policymakers are increasingly demanding sustainable products, the ability to close the loop on a material like MDF is a game-changer. Sonae Arauco’s new recycling line is a powerful example of how the woodworking industry, a cornerstone of the bioeconomy, can lead the way in environmental stewardship and industrial innovation.
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Tags: circular economy, MDF recycling, Sonae Arauco, wood fibre
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