Switzerland's Feintool plans cuts in Germany, cites weakness in EV market

Feintool International Holding AG

03/12/2024 06:33

ZURICH, Dec 3 (Reuters) - Feintool will close one of its
sites in Germany and cut its workforce by as many as 200 people
due to weakness in demand for electric vehicles and uncertainty
over the shift to renewable energy, the Swiss automotive
supplier said on Tuesday.
    Feintool plans a shake-up of production of rotors and
stators for electric motors, and said that its unprofitable site
in Sachsenheim near Stuttgart would be closed, with most of the
production there moved to its Tokod facility in Hungary.
    In its stamping business unit, which specializes in
electrolamination stamping, the centres for research and
development and toolmaking, as well as automated automotive
production, will be pooled in Vaihingen near Sachsenheim.
    These changes, which will be subject to consultation of
workers' representatives, would preserve around 250 of 450 jobs
currently in Sachsenheim and Vaihingen, Feintool said.
    Sachsenheim's struggles were mainly due to external economic
factors and the current conditions in Germany, it said.
    Feintool's plant in Jessen, Saxony-Anhalt, would also be
affected by the reorganization to a lesser extent, it said.
    Feintool listed political uncertainty over electromobility,
the transition to renewable energies, and an economic downturn
in the industrial business as factors behind the changes.

 (Reporting by Dave Graham and Rachel More)
 ((dave.graham@thomsonreuters.com; Reuters Messaging:
dave.graham.thomsonreuters.com@reuters.net))