BBCMore than 100 jobs are at risk at an aluminium and renewable energy manufacturing plant.
The Norwegian company Norsk Hydro said its site in Bedwas, Caerphilly county, was among five across Europe facing closure.
The firm blamed “weak demand and low capacity utilisation” in the industry for its decision and said a consultation with affected employees had begun.
Lindsay Whittle, Plaid Cymru MS for Caerphilly, said: “This is a devastating blow before Christmas.”
Some 125 employees are likely to be impacted at the Bedwas plant, which opened in 1971 under the ownership of Sapa before changing hands in 2017.
Norsk Hydro’s decision will also affect its sites in Cheltenham, Germany, Italy and the Netherlands.
A company spokesperson said: “Hydro has decided to consolidate the extrusions operations in Europe with a proposal to close five of its European plants. This move is made to optimise the extrusion footprint in Europe and strengthen competitiveness.
“A formal consultation with employee representatives is ongoing and during this process, Hydro will discuss and negotiate solutions in accordance with local UK regulations. If confirmed, the closure of the Bedwas plant will likely take place during 2026.”
‘Take urgent steps’
The consultation will take place with the employee work council, which represents workers at the site.
MS Whittle called on the Welsh government to ensure those affected would go on to new roles.
“This is a devastating blow before Christmas and if the decision following the consultation period is to close then we need the support of the Welsh government to take urgent steps to make sure there is retraining and, hopefully, new employment opportunities as soon as possible for these highly-skilled workers.”
A government spokesperson said the news would be worrying for those affected and added: “We stand ready to offer support to the workforce affected by this decision.”
BBC News
