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Economic downturn forces aluminium rolling mill closure

A significant decline in orders has forced the closure of Novelis aluminium sheet mill in Rogerstone, South Wales. Operations will cease by the end of April and mean the loss of 440 jobs.

In a statement the company said it was stopping operations because there had been a significant decline in orders. The news follows a 90-day consultation, which started in October 2008, which was designed to get the business through the downturn by identifying measures that could be taken in light of the weak economy. But despite significant efforts to achieve this, a viable plan did not emerge, the statement said. 

Novelis Europe president Arnaud de Weert said: The Rogerstone team made every effort to adjust the operating model and costs to reflect the decreasing order book. Unfortunately a sustainable solution could not be found. 

This has been a very difficult decision to make but like many companies we must adjust to the economic realities of today. Novelis is going through a process to ensure that we emerge from the downturn with an asset configuration that is lean and even more competitive.

Customers have been reassured that existing orders will be fulfilled and clients will be contacted individually regarding the future handling of their business in the Novelis European system.


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