Restructuring Solvay Cuts Costs in Soda Ash Business, Idles Plant
Solvay plans to cut costs in Europe by € 100 million per year as of 2016 – plans that also include the closure of a plant in Portugal in restructuring measures at several other sites...
Brussels/Belgium – Solvay's soda ash business still suffers from a weak demand in Europe, the company explained. Now the company pulls the emergency brake: In Europe, Solvay will run an in-depth transformation program at its 6 main soda ash plants. The facility at Povoa, Portugal shall be closed by 2014. Furthermore, in Rosignano, Italy, production capacity shall be reduced according to market needs.
450 Jobs at Stake
Consequently, the company will use the potential of its synthetic plants in Torrelavega, Spain and in Devnya, Bulgaria more efficiently, speakers explained. "Our ambitious three-year action plan will enable the Group to rise up to the challenges and adapt to changes in the competitive landscape while ensuring our profitability for the long term," said Pascal Juéry, President of Solvay Essential Chemicals. 450 jobs wil be directly affected by these plans until 2016, including those at Povoa.. In North America, with limited investments, Solvay is gradually expanding its production capacity by about 12%, at Green River, Wyoming, where it operates trona-mining industrial assets.