HERLEEN, NETHERLANDS (Dec. 27, 9:45 a.m. ET) — DSM NV's Dyneema high-performance fiber unit plans to close its facility in Flaach, Switzerland.
Herleen-based DSM acquired the site in 2007 as part of the acquisition of Pamako AG. The plant employs about 25, and develops and produces tape made from ultrahigh molecular weight polyethylene.
The company announced the plan to close the plant on Dec. 21.
“It is with regret that we have taken this decision today for the people involved,” said Gerard de Reuver, president DSM Dyneema, in a news release. “We have invested considerable resources in improving the technology and capabilities of the people involved over the last few years. With great support from our R&D team, the crew in Flaach has worked exceptionally hard to commercialize new products. The economics of the site were always a challenge. It is a very small site and the operational costs for a separate development facility have become unacceptable, especially in the current economic circumstances.”
The company added that since acquiring the business, DSM Dyneema commercialized the first UHMwPE tape grade for ballistic applications in 2008, with more recently it has developed products for telecommunications applications.
DSM Dyneema is preparing to open a new tape manufacturing facility in Greenville, N.C.