Specialty chemicals firm Lanxess to end production at Amsterdam site
Lanxess has announced plans to terminate production at its Ankerweg facility in Amsterdam, the Netherlands.
The firm produces base oils for industrial lubricants at the Ankerweg location. Operations at the facility will be stopped in November 2018.
Lanxess secured the production facility and its around 100 employees when it bought US-based chemicals group Chemtura. It produces active ingredients at the Ankerweg facility under a contract manufacturing agreement for an agrochemicals customer.
Lanxess Additives business unit head Anno Borkowsky said: "We carefully analysed the site and came to the conclusion that we cannot run production there on a competitive basis."
The firm can manufacture the volume of base oils it requires for its own demand of high-performance lubricants, as well as to meet market demand at its Elmira facility in Canada.
Furthermore, the contract manufacturing deal for agricultural active ingredients that forms a significant part of the activities at the Ankerweg facility will come to an end in November next year.
Borkowsky added: "Our priority now is to work with employee representatives to find responsible solutions for the employees concerned by the intended shutdown."
The company is already in negotiations with union representatives.
Lanxess bought Chemtura and its 2,500 employees in April this year. Chemtura is a supplier of flame retardant and lubricant additives