To meet the manufacturing requirements of its changing product portfolio and the growing need for localisation, Vestas is to end production at three European factories
The decision results from the ongoing integration of the company’s onshore and offshore businesses, and the need for an efficient operating model and manufacturing footprint.
Vestas intends to cease production at its factories in Lauchhammer, Germany; Viveiro, Spain; and Esbjerg, Denmark.
Vestas executive vice president Tommy Rahbek Nielsen 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.
“Vestas will maintain a strong footprint in Europe across manufacturing and service activities. It is always hard to make decisions that negatively affect hardworking colleagues.”
Vestas’ factory in Lauchhammer, Germany has scaled down activity, but continues to manufacture a limited number of blades for V117 and V136 turbines and currently employs approximately 460 people.
Vestas expects to meet future customer needs for its V117 and V136 turbines with supply from its other blade factories across the world. The expectation is to end production in Lauchhammer by the end of 2021.
Vestas’ factory in Viveiro, Spain employs approximately 115 people who manufacture generators for its 2-MW onshore platform and control panels for the V164 offshore turbine for markets outside Spain.
“Due to a reduction in demand for the 2-MW platform and the need to optimise offshore manufacturing, it is no longer sustainable to continue activity in Viveiro,” the company said. Based on current plans, Vestas expects to end production in Viveiro by the end of 2021.
Vestas’ factory in Esbjerg, Denmark employs approximately 75 people who manufacture power conversion modules for the V164 and V174 offshore turbines. As demand for these modules will gradually shift to markets primarily outside Europe and be delivered by more localised manufacturing facilities, Vestas expects to conclude production of power conversion modules in Esbjerg during the first half of 2022.
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