Outokumpu aims to streamline its operations in Germany and plans restructuring measures to utilise its assets in the most efficient way. Measures include centralising advanced materials production in Germany fully to Dillenburg, by transferring precision strip operations to that site. Simultaneously, it plans to close its coil service center in Hockenheim and transfer the volumes to other sites.
“We are a global leader in advanced materials, and we want to further strengthen this position. Centralising the expertise, product portfolio and operations under one roof in Dillenburg would allow us to expand our product portfolio and reposition the site as the core value creator within our Advanced Materials business line alongside our mills in Sweden. Following the possible change, Dillenburg would be able to offer the full spectrum of our advanced materials products from a wide range of standard and specialty stainless steel grades with varied surfaces to the thinnest of gauges in precision strip,” says Thomas Anstots, President, Advanced Materials business line.
The planned restructuring measures are expected to impact close to 200 people in Germany. Outokumpu intends to commence negotiations with employee representatives in Germany in full respect of local legislation and practices.
“During the negotiations, we hope to reach a mutual understanding with our employees while we aim to strengthen our European competitiveness in the long run,” says Anstots.
The possible closure of Hockenheim is planned to be completed earliest by the end of the second quarter in 2024 and Dahlerbrück earliest by the end of 2024. The restructuring measures would entail yearly savings of approximately EUR 15 million.
