Huhtamaki OYJ, Finland, has decided to close down its flexible packaging production facility in Prague, Czech Republic. The closure shall be complete by March 31, 2024.
Jun 8, 2023
Huhtamaki OYJ, Finland, will be closing its flexible packaging production facility in Prague, Czech Republic. All production and supporting activities at the facility will be scaled down during the second half of the year and shall be gradually transferred to Huhtamaki’s other manufacturing sites, with the closure of the operations completed by March 31, 2024.
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The group aims to consolidate the production footprint of its flexible packaging segment in Europe. Over time, the closure is expected to be cash positive and improve the group’s competitiveness in Europe. The group currently has two manufacturing units in the Czech Republic. The closure of the Prague site will not affect the fiber packaging operations in Okrisky.
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The facility does not represent a material share of the sales or profits of Huhtamaki and its closure-related costs of approximately EUR 35 million shall be booked in the second quarter of 2023 as items affecting comparability.
