l Two major suppliers to the coatings industry have announced plant consolidations. Bayer Corporation will consolidate its polyester manufacturing at the company’s New Martinsville, WV and Columbus, GA production sites and close its plant in Hicksville, NY by the end of 2002. The action is part of Bayer’s on-going site consolidation strategy to eliminate excess capacity in order to maintain competitive in the industry. The decision to close the facility, which currently employs 62 workers, was made after conducting a detailed cost management analysis of the affected production sites.
“Bayer remains committed to the polyester resins market,” said John L. Williams, president, coatings and colorants division and executive vice president, Bayer Corporation. “We will continue to supply customers with these high-quality resins by utilizing capacity at our new Martinsville, WV and Columbus, GA, plants,” Dr. Williams added.
In other company news, Bayer has further strengthened its commitment to powder coatings technology with the opening of its $1.5 million powder coatings global research and competency center. Located on Bayer’s Pittsburgh, PA campus, the 1,600-square-foot application and testing facility will be used to support customers, evaluate new products and develop new applications and technologies. The center features three separate application lines that can operate simultaneously.
Eastman Chemical Company, in its continuing strategy to improve capacity utilization by consolidating manufacturing operations, announced plans to close Altovar Ltd., its facility in Banbury, England, and move production to Kallo, Belgium, while maintaining storage and distribution capabilities in the UK for graphic arts products. The Banbury site, which has 18 employees, supplies varnishes for the graphic arts industry “Customers depend on Eastman to deliver high-quality products in a timely fashion, and we will continue to meet that expectation,” said Francois Vleugels, vice president and general manager of Eastman’s coatings, adhesives, specialty polymers and inks business. Mr. Vleugels said he expects production at the Banbury facility to end by the end of the year.
Godefroy Motte, president of Eastman’s Europe, Middle East and Africa region said, “Moving production allows the company to improve productivity and maintain competitiveness. With some relatively small investments, we can incorporate products currently produced at Banbury into our larger operation at Kallo.”