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Composite Scandinavia, a subsidiary of Hexagon Composites, has decided to initiate a process with the employee representatives in Composite Scandinavia, with the intention to discontinue the production of composite LPG cylinders in Piteå, Sweden.
According to Hexagon Composites, the aim is to concentrate the production of LPG-cylinders to one factory, due to a weaker market for LPG cylinders and available capacity at its subsidiary Ragasco. They say that this will increase the capacity utilisation at Ragasco in Norway and lead to improved production efficiency of the Groups LPG-cylinders.
Composite Scandinavia will remain as a company managing the licences, service and support.
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