Bekaert addresses structural changes in the market environment
Bridon-Bekaert Ropes Group to close manufacturing plant in Pointe-Claire, Canada
Alongside the ongoing improvement programs towards higher level performance, Bekaert has determined a number of actions to address structural changes in the market environment. Some of those changes are caused by the lasting effects of the Covid-19 pandemic on economies and demand patterns, while others are a result of sectorspecific competitive developments.
In addressing these structural changes, the company is enhancing the effectiveness of its operating model and process efficiencies across the business, while continually evaluating the set-up and usage of the footprint in view of driving sustainable value creation.
As part of this global approach and of the strategy of Bridon-Bekaert Ropes Group (BBRG) to improve its operational footprint, the company has decided to consolidate the North American ropes platform in the US and phase out the production activities in Pointe-Claire, Canada, by the end of May 2021.
All North American manufacturing and servicing activities will be centralized in Wilkes-Barre (Pennsylvania, US) and Oakland City (Indiana, US) and be extended with capacity additions and technological capabilities. This set-up has been designed to ensure long-term competitiveness by better leveraging scale, synergies, and efficiencies. In its future set-up, the company will continue to serve the customers of BBRG’s Canadian Wire Rope Industries (WRI) plant from other manufacturing sites in the US and Europe.
The decision to close the plant in Canada will affect 145 employees. The management regrets the personal consequences of this decision and will diligently evaluate the options to mitigate the social impact.
This press release may contain forward-looking statements. Such statements reflect the current views of management regarding future events, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Bekaert is providing the information in this press release as of this date and does not undertake any obligation to update any forward-looking statements contained in this press release in light of new information, future events or otherwise. Bekaert disclaims any liability for statements made or published by third parties and does not undertake any obligation to correct inaccurate data, information, conclusions or opinions published by third parties in relation to this or any other press release issued by Bekaert.
Bekaert (bekaert.com) is a world market and technology leader in steel wire transformation and coating technologies. We pursue to be the preferred supplier for our steel wire products and solutions by continuously delivering superior value to our customers worldwide. Bekaert (Euronext Brussels: BEKB) is a global company with 28 000 employees worldwide, headquarters in Belgium and € 5 billion in combined revenue in 2019.