Citing a need to “counter growing price pressure,” solar inverter company SMA Solar Technology AG has announced it is shutting down two production facilities in an effort to consolidate its global operations.
The company says this will allow SMA to further reduce its fixed costs and, thus, maintain its competitiveness.
In an announcement, the Germany-based company reveals it will close its U. production site in Denver at the end of this year, resulting in the loss of approximately 280 full-time jobs. market “remains highly important to us.”In addition to the Denver location, SMA is closing its Cape Town, South Africa, production facility; the company did not specify how many jobs will be affected at that site.“The acceleration of price pressure in the solar industry has been unexpectedly strong in recent weeks.
“The closure of our production locations in Denver and Cape Town was extremely difficult for us.
However, this step is unavoidable if we are to lastingly counteract the persistent price pressure and to achieve better production capacity utilization in China and Germany in the future.”The company says it is planning targeted investments in technology development and will announce further product innovations to bolster its market positioning.“For example, SMA will be presenting a compact system solution with integrated energy management for the rapidly growing commercial market segment to the public at Solar Power International in Las Vegas in September 2016,” notes Urbon.
The solar industry’s medium-term prospects are good for those companies emerging successfully from the consolidation phase, according to SMA.“The cost of solar power generated by PV systems will at last be at a similar level to that of onshore wind turbines before the end of the decade.
plans to close seven manufacturing plants in North America and eliminate 2,600 jobs, according to the company.
The news follows the announcement in August that it would be laying off 2,500 employees in the United States and Canada, including eliminating 700 positions at the company’s co-headquarters in Northfield, Ill.
“Following an extensive review of the Kraft Heinz North American supply chain footprint, capabilities and capacity utilization, we are announcing the closure of seven manufacturing facilities in North America: Fullerton, Calif.; San Leandro, Calif.; Federalsburg, Md.; St. Y.; Lehigh Valley, Pa.; and Madison, Wis.,” said Michael Mullen, senior vice-president of corporate and government affairs.
“In a staged process over the next 12 to 24 months, production in these locations will shift to other existing factories in North America.” The company also is planning to move production from its existing plant in Davenport, Iowa, to a new location in the Davenport area.
Cheese production will be shifted away from the company’s plant in Champaign, Ill., to other plants in North America, and the company plans to make the Champaign location a “center-of-excellence” in dry sauce production. business units to our co-headquarters of Chicago and Pittsburgh, which will drive increased collaboration and efficiency,” Mr. The views expressed in the comments section of Food Business News do not reflect those of Food Business News or its parent company, Sosland Publishing Co., Kansas City, Mo.
Both moves will take up to two years to complete, said Mr. “Our decision to consolidate manufacturing across the Kraft Heinz North American network is a critical step in our plan to eliminate excess capacity and reduce operational redundancies for the new combined company,” Mr. “This will make Kraft Heinz more globally competitive and accelerate the company’s future growth. Concern regarding a specific comment may be registered with the Editor by clicking the Report Abuse link.