OQ retrenches in face of cost challenges
Oxo chemicals firm OQ Chemicals has announced a two-year cost-saving programme that includes realignment and workforce reductions in Germany. This was attributed to high raw material and energy prices, plus inflation rates, particularly in Europe. Last year alone, rising energy costs amounted to “a high three-digit million Euro figure”.
The company will outsource service areas like technical workshops and logistics, and reduce up to 10% of jobs, with the aim of “long-term annual cost savings in the double-digit million Euro range”. It will also strengthen its digitalisation initiatives and “further develop its product portfolio”.
“The goal of the organisational changes is to concentrate on the core business and establish a more efficient structure that meets the current and future requirements of a successful medium-sized chemical company,” OQ said. The climate change strategy will also be part of this.
Earlier in the month, OQ had started up its new pilot plant for esters at its in Oberhausen site. This facility will produce at about 20 kg batch scales, enabling it to manufacture to customer needs for testing purposes, which can later be produced on a large scale in its industrial plants. Esters are mainly used in the plastics and lubricants industries.