GERMANY: Kolbenschmidt to axe plant and jobs
German supplier KS Kolbenschmidt will close its Hamburg plant and cut hundreds of jobs.
According to the German press agency, the company told employees at a company meeting that price pressures and the lack of market growth in western Europe had led to the axe being wielded.
Three hundred of 600 jobs will go at the company's Neckarsulm plant, while the Hamburg plant will close completely with the loss of around 200 posts.
The company specialises in pistons and wants to cut production costs and increase productivity at its other European locations.
KS Kolbenschmidt is part of the Kolbenschmidt Pierburg group, which in turn belongs to EYR2.2bn company Rheinmetall.