Lanxess closing South Africa site in rubber chemicals realignment

27 June 2013 17:53  [Source: ICIS news]

LONDON (ICIS)--Lanxess is to close its Isithebe production site in South Africa with the loss of 40 jobs as part of a streamlining of its rubber chemicals business, the company said on Thursday.

The move – primarily focused on a bundling of production processes for vulcanisation accelerators, which are mainly used in the tyre industry – will also mean the headcount at the company's Kallo plant in Belgium will fall from 205 to 160, the Germany-based company added.

The realignment will see Lanxess's Bushy Park production site in the US – which is to retain all of its workforce of around 60 employees – take over the production of the accelerator Vulkacit CZ from the Kallo site by 2014, Lanxess said.

In return, the production for the Bushy Park accelerators, Vulkacit DZ and Vulkacit NZ, will be shifted to Kallo, it added.

In a press release, the company also stated: “The business unit is also streamlining its product range as some products have reached the end of their life cycle. The company is therefore discontinuing production of the vulcanisation accelerator Vulkacit MOZ at the Kallo site during 2014. Also, the production of the ageing inhibitors Vulkanox 3100 and Vulkanox DPPD, which are produced at the Isithebe site in South Africa, will be stopped and the plant will be closed.”

The measures would enable Lanxess to enhance its efficiency and competitiveness, said Luis López-Remón, head of the company's rubber chemicals business unit.

“Moreover, we can focus our portfolio on innovative, sustainable and profitable products in order to accommodate the trend toward increasingly high-tech products within the tyre industry also in the future," he added.

By: Will Conroy
+44 20 8652 3214

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