Ceratizit closes two plants: 650 jobs at risk!

The hard metal manufacturer Ceratizit has announced that it will close two plants in Germany. The affected locations are Besigheim and Empfingen. This decision was made due to high costs and international competitive pressure. Production activities at both plants are scheduled to end during 2026, while manufacturing of the affected products will be relocated to other plants within the group.

A total of 650 employees are affected by the closures, of which 380 employees in Besigheim will lose their jobs. The plant in Besigheim has a long history and comes from the Komet Group, which was founded in 1918. The works council chairman in Besigheim, Eduard Mangold, said that there were no signs of this decision. Ceratizit continues to plan to make its international production network more efficient and better utilize synergies, as the German locations' dependence on the automotive industry contributed to the decision. Despite the closures, the company emphasizes that all delivery obligations will continue to be met and that negotiations will begin with employee representatives on a social plan.

Takeover by Plansee Group

In a further step, the Plansee Group acquired the majority of the shares in the Luxembourg company Ceratizit. The Plansee Group was already involved in Ceratizit and held 50% of the shares. It was agreed not to disclose the exact extent of the shares acquired and financial details. However, the approval of the antitrust authorities is still pending. Ceratizit originated in Walferdange in 1931 and is based in Mamer, Luxembourg. The company currently employs 1,200 people at its Mamer, Livingen and Niederkorn locations, while it has a total of 7,000 employees worldwide.

Ceratizit produces a variety of hard metal products, such as drill bits and saw teeth. The Plansee Group itself specializes in the materials molybdenum and tungsten and covers the entire value chain. In the 2019/20 financial year, Plansee Group achieved sales of 1.38 billion euros with 7,606 employees. Karlheinz Wex, spokesman for the Plansee Group, expressed the goal of a fully integrated group of companies. However, unions have already raised concerns about this takeover, particularly regarding the future of jobs. Staff representatives were informed just 30 minutes before the official announcement, causing further concern. The unions are demanding that the changes do not lead to job losses or worsening working conditions.