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Maersk refrigerated container. (Photo: Maersk)
Maersk closes container factory in San Antonio
(CHILE, 6/20/2018)
Maersk Container Industry, division of the Danish company A.P. Moeller - Maersk, announced that it decided to close the refrigerated container factory installed in Malvilla, San Antonio, Valparaíso Region, and consolidate manufacturing at the company's original facilities in Qingdao, China.
The closure of the factory will result in the dismissal of a total of 1,209 highly qualified workers, of whom 25 per cent are women.
“After careful review, we concluded that the consolidation of activities at one plant will provide a strengthened capacity utilisation and a simpler cost structure. This will in turn allow us to better serve our customers and focus on innovation responding to the growing demand for reefer container technology,” explained Sean Fitzgerald, CEO of Maersk Container Industry.
The company stated that its decision is due to overproduction of containers in the world that has been registered for a few years and the permanent difficulty to obtain suppliers of inputs for manufacturing at a regional level. As a result, production at the Chilean plant has ceased to be competitive in global markets.
“The harsh reality is that to be competitive today requires us to adapt our operations constantly. Fundamental market factors have changed and so must we to grow with the market,” added Fitzgerald. “Regrettably, this decision impacts our 1,209 skilled colleagues in San Antonio and we are committed to supporting them and honouring our obligations.”
The closure of the Chilean factory will represent for the Danish company a cost of around DKK 1,100 - 1,300 million (USD 171-200 million), according to the Danish media Borsen, specialized in business.
The company clarified that this decision does not affect any of the other activities of AP Moller - Maersk in Chile.
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Information of the company:
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Address:
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Esplanaden 50
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City:
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Copenhagen
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State/ZIP:
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(DK-1098 )
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Country:
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Denmark
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Phone:
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+45 3363 3363
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Fax:
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+45 3363 4108
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E-Mail:
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cphhrd@maersk.com
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