Novelis Considers Closing Bridgnorth, U.K., Plant

Novelis has announced that it is considering closing of its Bridgnorth, U.K., foil rolling and packaging operations next year, and consolidating those activities into other plants in its European system.

According to a press release issued by the company, the proposed closing aims to improve the competitiveness of Novelis' European foil and packaging production system in response to overcapacity in the European foil market, increasing competition from low-cost countries, poor market conditions and long-term outlook in the segments served by the plant and high exposure to currency fluctuations.

"As a leader in aluminum foil and packaging, Novelis remains committed to these markets," says Tadeu Nardocci, president of Novelis Europe and senior vice-president of Novelis Inc. in the release. "Today's proposal is primarily to address European market and structural conditions, not because of any performance issues at Bridgnorth. The proposed consolidation of our foil and packaging businesses at the other plants in the Novelis Europe system would enhance our overall competitiveness and our sustainability as Europe's leading supplier."