Trioplast, a Swedish plastic packaging and film producer, is closing one of its two production plants in the country, resulting in 90 redundancies.
"Growth will be achieved through more offensive investment,” CEO Martin Peterson said in a statement. “It is regrettable that employees will lose their jobs but with just one plant, there will be greater focus, allowing us to make better use of resources."
Staff at the plant in Smålandsstenar have been informed of the plans, says the firm.
Trioplast will also invest SEK 250m in new production equipment and automation in order to become “the most efficient manufacturer of PE film in Europe”.
Around 30 jobs will be created at the company’s second plant.