Ineos ChlorVinyls is to consolidate its UK PVC production operations by ceasing production at its PVC plant at Barry in Wales.
The company will continue to supply customers from its other PVC plants at Runcorn in Cheshire and Newton Aycliffe in County Durham.
As the UK’s sole producer of PVC, the company took the decision to adjust its output in line with market demand, which it said has declined steadily over recent years.
The company aims to close the plant with minimum loss of any permanent employees by offering staff alternative employment at other Ineos sites. A period of consultation will now commence with trade unions and employee representatives.
Completion of the consolidation is expected to take place by the end of the second quarter this year at the latest.
Last December, the company increased the prices of all its grades of suspension PVC by €25 (£22) per tonne, and further increased the price by an additional €50 per tonne in January this year.