Pfleiderer Plans To Close Two German Plants

Neumarkt, Germany, Nov. 8, 2010 -- Due to market overcapacity for raw particleboard and raw MDF, Pfleiderer plans to close a particleboard plant in Ebersdorf, Germany and an MDF plant in Nidda, Germany.

"As a result of the fall in demand in recent years, Western Europe will have structural overcapacity in the medium term of between 10 and 15 percent of the currently installed production capacities," said Michael Wolff, managing director of Pfleiderer's Business Center Western Europe.

"In the present situation, therefore, competitive production and capacity utilization are no longer guaranteed. The market situation is being exacerbated by the increasing scarcity and rising price of wood as well as the foreseeable increase in energy costs over the coming years."