Hydro plans to close Lucé extrusion plant in France
Norwegian aluminum producer Hydro has decided to close its extrusion plant in Luce, France, as part of a strategy to optimize its European extrusion operations and increase competitiveness. The proposed closure will affect approximately 80 employees of the plant, and a formal consultation process with employee representatives will begin soon. If the decision is made definitively, the plant will be closed during 2026. Eric Fossum, Senior Vice President of Hydro Extrusion Europe, said: "The European market remains challenging and we need to take additional steps. Although these decisions are difficult, we will prioritize safety and ensure that employees are treated fairly and respectfully. We will maintain our strong presence in the French market and continue to provide our customers with a high quality of service." The decision to close the Luce plant was made in accordance with the plan announced on November 26, 2025 to close five extrusion plants in Europe. The closure of two factories in the UK has been confirmed, and they will be closed in the second quarter of 2026. These steps are aimed at strengthening long-term competitiveness by optimizing Hydro's extrusion operations in Europe. The Luce plant, owned by Hydro since 1986, has two extrusion presses. This decision will not affect Hydro's aluminum processing plant, which is located next to the plant. Hydro stated that it remains committed to the European extrusion market and that the planned changes will not affect customer commitments or service levels. If the closure is confirmed, customers served by the affected facility will receive their products from other Hydro facilities. The total cost of the restructuring is expected to be NOK 260 million, of which NOK 80 million will be recorded as an impairment charge and NOK 175 million as a reserve expense in Q1 2026. In addition, costs of approximately NOK 5 million will affect adjusted EBITDA in Q1 2026.
Author: SteelRadar Editorial Team
Steelradar.com