Metso says it is initiating consultations to evaluate the potential closure or other alternatives for its operations in Vereeniging, Gauteng, South Africa.
The Vereeniging unit provides pumps, spare parts, consumables, and repair services for the mining industry and has around 200 employees, the company says.
The move is part of the global supply footprint development strategy in its Minerals operations. Similar reviews across regions in Metso’s Minerals Consumables business area have led to the closure of the rubber and poly-met wear parts manufacturing facility in Ersmark, Sweden, and a discontinuation of the Isithebe foundry in South Africa.
Sami Takaluoma, President, Minerals Consumables business area at Metso, said: “Our strategy is to utilise synergies of the most efficient manufacturing and sourcing opportunities regionally and globally. We are continuously developing our supply footprint to deliver the best value, availability and quality for our customers.”
The Finland-based minerals-processing group is also planning to centralise warehouse operations in several markets.
Takaluoma also said the company had identified Lithuania as “an attractive location for a new manufacturing hub.”
“The closeness of our current customers in the Europe, Russia, Middle East and Africa region, efficient logistics network, sustainable operational environment and favourable market conditions were important criteria in the decision-making,” he added.
Some years ago Metso closed its brass foundry in Vereeniging.