Diesel crisis, the German Mahle closes two factories in Piedmont



There are 450 employees in the La Laggia factory and in the Saluzzo foundry – The company speaks of a disastrous drop in volumes

of Filomena Greco

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A production plant in La Loggia, just outside Turin, and a foundry in Saluzzo, in the Cuneo area. Mahle, a German multinational in the automotive sector, announces the closure of two Piedmontese sites where at least 450 employees work. The company in a note speaks of "critical years from an economic point of view" and explains that "the reduction of orders at European level, mainly in the production of diesel engines, has
significantly reduced production capacity ".

Pistons are produced in the plants of La Loggia and Saluzzo, with a view to the integrated supply chain: the crisis in Diesel engines has led to a gradual decline in volumes, according to company sources, and this year has become relevant. This is the umpteenth industrial crisis in a region, Piedmont, where over a third of the Made in Italy auto parts companies are concentrated.

"Mahle is unfortunately forced to plan the closure of the two plants and soon the consultations with the trade unions will start" reads the release released in the afternoon by the company. The multinational company says it is willing to collaborate "with the workers' representatives to consider every possible alternative measure and minimize the potential impact on the approximately 450 employees".

The crisis table opened in the headquarters of the AMMA – the Association of mechanical and mechatronics companies – in Turin and in the next few days the 75-day procedure for negotiations with the trade unions will start. Formally a collective dismissal procedure was opened for the closure of the plants. During the meeting, Mahle stressed that he did not see the possibility of improving orders in the coming months. The crisis, they say, is destined to worsen, hence the choice to close sites because orders are not sufficient to maintain production levels.

The Group has 79 thousand employees and revenues of over 12 billion euros and is specialized in the production of components for the powertrain, both for traditional engines and for e-mobility.

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