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07-02-2013

Alfa Laval consolidates manufacturing of boilers in Asia

Alfa Laval a world leader in heat transfer, centrifugal separation and fluid handling  has decided to consolidate its manufacturing of boilers in Asia into one cost effective unit in Qingdao, China. The manufacturing in Hai Phong, Vietnam, with 170 employees will be closed during the second quarter of 2013.

Alfa Laval acquired Aalborg Industries in May 2011 and the acquisition also included two manufacturing units for boilers in Asia; Qingdao, China and Hai Phong, Vietnam.

“The Hai Phong manufacturing unit has performed well. However, to stay competitive we have decided to consolidate our footprint in Asia. This will lead to a better cost structure”, says Lars Renström, President and CEO of the Alfa Laval Group. “The timing for the change is triggered by the drop in demand for boilers.”

The cost of the closing of the manufacturing in Vietnam has been provided for and no further costs are expected.

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