Rising costs lead to Lanxess job cuts

05/02/2008

As a result of “constantly rising energy and raw material costs”, Germany-based chemicals group Lanxess has decided to cease producing Nitrile Rubber (NBR) which is used in the manufacture of footwear and technical products at its Canadian site in Sarnia in the second quarter of 2008 and move production to its French site of La Wantzenau. The decision will lead to the loss of 270 jobs in Canada.

Commenting on the move, board member Werner Breuers stated: "Because of the constantly rising energy and raw material costs in Canada, there is no alternative to this efficiency programme. As is customary at Lanxess, we will work with the employee representatives to try to find acceptable solutions for the employees affected."

The plant in Sarnia, which was built over 60 years ago, will now focus on the production of butyl rubber.