China's Haier closes down EUR 70 mln refrigerator factory in Romania
<p>Chinese group Haier announced it will close down its refrigerator factory in Romania, the group's largest production hub in Europe, launched in 2021 after EUR 70 million in investments that included EUR 25 million in state aid.</p>

<p>The company officially informed the Romanian authorities of its intention to close and will begin discussions to terminate the state aid contract.</p>

<p>The local activity will be moved to another country, which has not been made public, the company hinted in a press release quoted by <a href="https://www.zf.ro/eveniment/lovitura-plin-economia-romaneasca-chinezii-haier-inchid-fabrica-22655756?mc_cid=4771cc7e3e&amp;mc_eid=cd1f92f96c" rel="noopener" target="_blank">Ziarul Financiar</a>.</p>

<p>"The analysis highlighted the opportunity to consolidate production capacities – including refrigeration – in a few large, strategically located locations to secure Haier's leadership position. The decision was made in response to industry challenges – including market stagnation and significant declines in Europe, with double-digit percentages in some critical markets, rising costs for imported goods and competitive pressure," the company announced.</p>

<p>Amidst these pressures, Haier Europe aims to maintain its operations in Italy, focusing on research and development activities, while in Romania, the economic and social impact of the closure of the Prahova factory will be felt in the long term.</p>

<p>In the first phase, the collective layoff will affect approximately 420-450 employees of the total of 519. The remaining will remain under contract until the complete dismantling of the equipment and the closure of the factory.</p>

<p>The factory will close down operations by March 2025.</p>

<p>Haier had already laid off in 2024 nearly half&nbsp;of its 1,000 employees at its Romanian refrigerator factory.&nbsp;</p>

<p>In 2023, Haier Tech, the company that operates the business, reported RON 705 million (EUR 140 million) in revenues, 24% more compared to 2022.</p>

<p>Haier Tech has a production capacity of over 1 million refrigerators per year to serve both the local and international markets, thus representing Haier's largest refrigeration export center in Europe.</p>

<p><em>iulian@romania-insider.com</em></p>

<p><em>(Photo source: the company)</em></p>