Siemens Gamesa to Shutter Wind Turbine Blade Plant in Tangier Amid Industry Pressures

– bySylvanus@Bladi · 2 min read
Siemens Gamesa to Shutter Wind Turbine Blade Plant in Tangier Amid Industry Pressures

Siemens Gamesa has decided to close its onshore blade plant located in the Tanger Automotive City free zone. What are the reasons behind this closure?

"The global wind energy industry is under significant financial pressure, suffering from intense competition, price pressures and an exponential increase in the cost of raw materials and logistics. In this context, Siemens Gamesa has announced today its decision to close its onshore blade plant in Tangier, as part of the company’s strategic Mistral program, designed to rationalize and simplify the organization, while improving its efficiency and effectiveness," explains the German group in a press release.

According to Siemens Gamesa, this closure follows the adjustment measures it has taken in recent years in Denmark, India, Spain and the United States. It reflects similar consolidations of the industrial footprint taken across the industry. Another reason given: a lack of orders for the type of blade produced at the plant. Larger and more efficient turbines are increasingly in demand on the market.

The closure of the onshore blade plant inaugurated in 2017 will affect up to 500 jobs. Siemens Gamesa intends to help employees find jobs outside the company. "This is a very difficult decision to make, as we fully understand the impact on our workers and the community. Unfortunately, in the current market conditions, we have no choice but to take such harsh measures to improve our competitiveness and give the company a more stable footing. [...] We will do our best during the separation process to support our colleagues through this transition and minimize its impact on them," said Lars Bondo Krogsgaard, CEO of the German group.

However, this closure is not synonymous with a departure from Morocco. The German group will continue its activities at its regional headquarters in Casablanca and on other sites. "We will continue to deliver our projects and fulfill our obligations, remaining deeply committed to Moroccan society and all our Moroccan stakeholders to support the government’s ambitious renewable energy goals, which are exemplary for the entire Middle East and Africa region," said Najlae Yazghi, CEO of Siemens Gamesa Morocco.