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13.05.2026 market

Kruger invests CAD 333 million to enter wipe nonwovens market

Kruger announced a CAD 333 million investment to enter the nonwovens sector, marking a major step in the company’s long-term diversification strategy and the development of sustainable wipe materials. The project includes the installation of a new production line at Île-de-la-Potherie in Trois-Rivières, Québec, adjacent to Kruger’s Wayagamack paper mill. The facility is expected to start operations in 2028.

According to the company, the investment will establish the first production line of its kind in Canada, focused on manufacturing plastic-free and chemical-free nonwoven materials for a broad range of wipe applications.

New division focused on sustainable materials

Kruger stated that the new nonwovens division will manufacture products made entirely from natural ingredients, including wood fibres sourced primarily from responsibly managed Canadian forests. The materials are designed to be biodegradable and compostable while offering wet and dry strength, high absorbency and improved softness compared with conventional wipe products.

The new production line will use a hybrid technology combining wet-laid and dry-laid forming processes, allowing the production of high-performance nonwoven materials without plastic fibres or chemical binders.

Government support and regional impact

The project received financial support from both the Canadian and Québec governments. The Government of Canada contributed CAD 35 million through the Strategic Response Fund, while Investissement Québec provided a CAD 35 million loan acting on behalf of the Québec government, in addition to a CAD 5 million equity investment and a further CAD 25 million investment from its own funds.

Construction and equipment installation are expected to require approximately 540,000 working hours over nearly two years.

Kruger estimates that the project will create 56 permanent jobs at the new facility, bringing total employment at the Île-de-la-Potherie site to more than 340 employees and nearly 700 employees across Kruger’s operations in Trois-Rivières.

Expanding into a growing market

The company highlighted that the investment will support entry into the fast-growing wipes market, where demand for environmentally responsible products continues to increase.

“We would like to highlight the support of the governments of Canada and Québec, along with Investissement Québec, which is key to advancing innovative projects like this one,” said Éric Ashby, Executive Vice President and Chief Operating Officer of Kruger Inc. “The creation of our new division focused on 100% natural nonwoven materials is a direct extension of our long-term diversification strategy. This project will allow us to build on our manufacturing expertise in a growing, innovative sector, while remaining true to our mission of developing more sustainable essential products.”

Advanced technology for wipe applications

Kruger stated that the new line will produce materials suitable for a wide portfolio of wipe products while helping redefine standards in a market still largely dominated by plastic-containing materials. The project also reinforces Kruger’s long-term focus on innovation, sustainability and industrial modernisation within the North American forest products sector.

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