Ponsse launches EU-funded project – Refactory to be established in Iisalmi, Finland

The project aims to extend the service life of used forest machines and increase the reuse of machine components

Ponsse is launching the ExtendedLIFE project, funded by the EU’s LIFE Programme. As part of the project, Ponsse will establish a Refactory in Iisalmi, Finland, where used machines can be refurbished or dismantled and recycled on an industrial scale. The ExtendedLIFE project develops new solutions that enable more efficient refurbishment, reuse and recycling of forest machine components.

Ponsse has already established circular economy processes for forest machine components. In 2010, a remanufacturing unit was established in Iisalmi, where components are refurbished for reuse. The operation has gradually expanded. In 2025, the volume of refurbished or reused spare parts reached 222 tonnes. Through the ExtendedLIFE project, these operations will be further expanded and developed on an industrial scale.

The project also includes the development of a digital marketplace for remanufactured components and training for personnel, dealers and value chain partners in circular economy and remanufacturing practices. Ponsse is utilising digital tools and AI-based solutions in the project to anticipate maintenance needs and direct components for refurbishment, reuse or recycling.

ExtendedLIFE is a project funded by the EU’s LIFE Programme in which Ponsse develops the remanufacturing and recycling of forest machine components on an industrial scale. The aim is to extend component lifetimes and significantly reduce the use of materials and emissions. The project’s total budget is approximately EUR 5 million, of which 60% is funded by the EU’s LIFE Programme. Source