For customers on the Iberian peninsula, Holmen's entry into the market provides greater assurance of delivery. It also benefits Holmen; it is cheaper to deliver from Spain than from Sweden, not only to Spain but to France, Italy, Portugal and North Africa.

Holmen Paper Madrid on May 31st, 2006, officially inaugurated the new paper machine PM62, in the mill of HPM within the industrial estate "La Cantueña" at Fuenlabrada.  

With this new machine, Holmen Paper Madrid turns into the most modern mill of its class in Europe, working exclusively with recycled paper as raw material, and with two paper machines in operation; the PM61, functioning since 1998 and the new PM62. The extension has signified an investment of 306 Million Euros and the creation of more than one hundred new direct jobs.
 

The paper machine PM62 will produce 300.000 tonnes of one hundred per cent recycled newsprint, the equivalent of 50 % of today's total consumption on the Iberian Peninsula. The extension has taken place on a surface area of 147.000 m2, which increments the total area occupied by Holmen Paper Madrid to 322.000 m2.