Ceramic Industry News / Brick and Structural Clay / Refractories

RHI to Lower European Production Capacity

The Supervisory Board of RHI AG recently approved a concept presented by the Management Board to adjust the production capacity in Europe to growth rates, which reportedly are expected to stay low in the future. Since 2010, steel output within the European Union has been roughly 20% below the level of 2007; for this reason, the Duisburg, Germany, plant will be closed this year.

The Duisburg site currently employs 122 people and primarily produces magnesia-carbon bricks for the steel industry. A write-down of assets of roughly €6 million (~ $7 million) and restoration costs of approximately €10 million (~ $13 million) will reportedly be incurred in the context of the plant closure, which will affect cash flow in the coming years.

For additional information, visit www.rhi-ag.com.

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