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Norsk Hydro Shuts Two U.S. Plants, Cuts 350 Jobs on Weak Demand
Norsk Hydro will close two U.S. extrusion plants in South Carolina and Michigan, cutting 350 jobs as commercial construction and auto demand remain weak.
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Norsk Hydro said it will close two U.S. aluminum extrusion plants next year, cutting roughly 350 jobs. The Norwegian company cited weak demand in its biggest end-markets.
The plants are in Belton, South Carolina, and Kalamazoo, Michigan. Both produce extruded aluminum shapes used in construction, transportation, and industrial applications. Hydro said the closures will happen by the end of 2025.
The move is a direct response to a multi-year slump in those sectors. U.S. commercial construction starts have fallen for five consecutive quarters, and light-vehicle production has been flat to down since mid-2023. Extrusion volumes across the industry are running roughly 15% below the 2022 peak, according to trade data.
Hydro's Extrusions division, its largest by revenue, reported an 8% drop in sales for the first nine months of 2024 versus the same period a year earlier. Adjusted earnings before interest and taxes for the unit fell 22% over that stretch. The company said the plant closures will improve capacity utilization across its remaining U.S. network, which includes about 20 other extrusion sites.