Wind turbine maker Vestas said on Monday it would cease production at three plants in Spain, Germany and Denmark as part of the integration of its onshore and offshore business.
The move will impact around 650 employees at Vestas’ factories in Lauchhammer, Germany, Viveiro, Spain and Esbjerg, Denmark, the company said.
“Today’s fast-moving energy transition, rapid introduction of new products and recent integration of our onshore and offshore business require us to further mature and evolve our supply chain network and manufacturing footprint,” Chief Operating Officer Tommy Rahbek Nielsen said in a statement.
Vestas last year took full control of its offshore joint venture with Mitsubishi Heavy Industries in order to increase exposure offshore wind, which is receiving more attention from governments around the world aiming to lower emissions and meet climate change targets.
The plants in Spain and Germany, with 115 and 460 employees, respectively, will be shut by the end of this year, while the Danish site with 75 employees will be shut during the first half of 2022, it said.
It was not clear how many of the employees would be laid off, Vestas said.
“While Vestas will sustain a strong footprint in Europe across manufacturing and service activities, it’s always hard to make decisions that negatively affect our good, hardworking colleagues at Vestas,” said Nielsen.
After the closures, Vestas will continue to manufacture onshore and offshore wind turbines at 12 plants across Europe.