Highlights

History

Karhula Industrial Park originated in 1887, when William Ruth began industrial operations in the area. It is one of the oldest continuously operating industrial communities in Finland. The park remains as dynamic, efficient, and united as it was during Ruth’s era. Globalization in Karhula has meant maintaining industrial capacity and employment. The architecture in and around the industrial park reflects almost the entire span of Finland’s industrial history. The oldest factory buildings are now integrated into newer structures, while the red workers’ housing along William Ruth Street dates back to the very beginning of industrial activity in the late 19th century. In central Karhula, within a large park, stands Karhulan Hovi, the castle-like home Ruth built for himself. It is unquestionably the most striking building in the area, with architectural influences from French country estates.

Early stages

The early phase of industry in the Karhula area can be traced back to a water-powered sawmill built on the edge of the Korkeakoski rapids in 1563–1564. The sawmill was destroyed during the Great Northern War in the early 18th century, but it was later rebuilt, and sawmilling continued there until the 1840s.

The rapid industrialization of the municipality of Kymi led to the founding of the city of Kotka in 1879. Steam-powered sawmills were also established elsewhere in Kymi, alongside a wide range of other industries and small businesses emerging already in the 1870s.

At the beginning of the 20th century, Karhula was a rapidly growing industrial community where the working class formed a clear majority. Life revolved around the factories: work structured daily life, but strong local identity was shaped by community spirit, associations, workers’ halls, cooperative stores, and sports clubs. Ahlström and Karhula Company played a central role—they were not only employers but also builders of residential areas, schools, and services. Workers came to Karhula from the rural areas of Kymi, elsewhere in Kymenlaakso, and also from Karelia and Savo.

The working population lived in wooden houses, barracks, and detached homes built by the factories, particularly during the 1910s.

William Ruth (1839–1913)

William Ruth was a Finnish mining councillor, entrepreneur, and industrialist who established a diversified industrial center in Karhula. He was one of the key figures in Finland’s industrialization, as well as a distinctive personality who rose from modest beginnings to become an industrial leader.

Ruth designed factory operations to support one another. It could be said that the industrial area represented an early precursor to what we now call a circular economy.

Changes in the 20th century

In 1902, William Ruth founded Karhula Company Ltd. with a share capital of four million Finnish marks. On November 9, 1915, the Karhula factories were acquired by A. Ahlström for 6.5 million marks. Karhula Company was merged into A. Ahlström on June 17, 1941. The Karhula engineering works manufactured paper and board machines until Ahlström sold these operations to Valmet in 1987 and to the Austrian company Andritz AG in 2001.

Karhula Glassworks, in its later years, was the only factory in Finland producing glass jars and bottles. It was acquired by the American company Owens-Illinois in 1995 and closed in 2009. Ahlström’s glass wool factory operated in Karhula from the early 1960s until 1982. The pump factory was sold by Ahlström in 2000 to the Swiss company Sulzer.