Luzales will start supplying wood pellets to China
Luzales-Tikhvin signed a contract with Chinese partners for supplying wood pellets, as reported by Luzales’s press office. This deal is supposed to help load the facilities of the enterprise’s wood pellet production site by 100%, increase the company’s profit, and consume all of sawdust generated by the sawmilling process.
As new production facilities of steel-smelting plants at Bureau 16 of the Chinese Railway are built and the population of Tianjin City grows, the Government of this region decided to convert its boiler houses from black coal to eco-friendlier wood pellets.
A tender was conducted to select an exporter in China and grant it a permitting license for wood pellet import. Based on the results of the bids and the conducted laboratory tests of wood pellets, this company identified several good-faith suppliers, including Luzales-Tikhvin.
This piece of news is noteworthy as importing wood pellets in China has been prohibited until now: this product category is considered to be woodworking waste by the customs law of the PRC.
Luzales purchased the production facilities in Tikhvin from IKEA in March 2023. The plant in the Leningrad Region was later renamed Luzales-Tikhvin.