Freudenberg Sealing Technologies is reorganizing its liquid silicone business. The company plans to relocate production from Öhringen, Germany to Losenstein, Austria by the middle of 2017. The tooling plant will remain in Öhringen.
Reasons for relocation include the increased pressure on prices in the market. The company says the current price structure for liquid silicone products manufactured in Öhringen no longer enables the company to win urgently-needed new business. Freudenberg says it will also save on payroll and energy costs if it moves to Austria.
Freudenberg’s 140 employees were informed about at a special employee meeting. Negotiations will start with employee representatives to discuss the plans and to develop solutions.