Swedish flooring manufacturer Kährs has announced a restructuring of its global operations, prioritizing localized production to enhance sustainability and customer service while impacting its Romanian workforce.

As of September 2023, the company has already begun sourcing American-produced flooring solutions to better serve the North American market. In its next strategic move, Kährs will consolidate wood flooring production for Nordic customers at its Nybro plant in Sweden, leading to significant changes at its Satulung, Romania facility.

The Romanian plant, which will transition away from its current production role, will be repurposed to support central European markets, initially focusing on producing strategic elements for European flooring products. This restructuring will affect approximately 90 employees at the Romanian facility, with negotiations now beginning with employee representatives.

"We are committed to serving our customers in a way that aligns with our sustainability goals while improving local availability and relevance," said Johan Magnusson, CEO of Kährs Group. The company emphasizes that the changes are part of a broader strategy to reduce environmental impact and improve product availability.

Carl-Henrik Stenermark, COO of Kährs Group, acknowledged the impact on workers, stating that the company will work closely with employee representatives to support affected staff through the transition.

The restructuring represents a significant shift in Kährs' manufacturing strategy, reflecting growing industry emphasis on sustainable practices and localized production. While strengthening its position in key markets, the company faces the challenge of managing workforce transitions while maintaining operational efficiency.