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Magna plant in Dorfprozelten to close, affecting 216 workers
🇩🇪 Germany /Economy & Trade

Magna plant in Dorfprozelten to close, affecting 216 workers

From Die Zeit · () German

Translated from German, summarized and contextualized by DistantNews.

At a glance

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  • The automotive supplier Magna plans to close its plant in Dorfprozelten, Germany, by mid-next year, affecting 216 employees.
  • The company cites ongoing negative business and market development, stating that despite investments and cost reductions, the plant's future viability could not be maintained.
  • This decision contradicts a 2023 agreement between Magna and the IG Metall union, which aimed to secure the site's operation until the end of 2028 with at least 250 employees.

The automotive supplier Magna is set to close its plant in Dorfprozelten, Germany, by mid-2026, a move that will impact 216 employees. The company attributes the decision to persistently poor business and market conditions. A spokesperson stated that "despite financial investments and implemented cost-cutting measures in recent years, future viability could not be maintained."

Despite financial investments and implemented cost-cutting measures in recent years, future viability could not be maintained.

— Magna International (Germany) GmbH spokespersonExplaining the company's decision to close the Dorfprozelten plant.

The plant, which manufactures exterior and rearview mirrors, was previously at risk of closure in 2023. At that time, an agreement was reached between Magna and the IG Metall union to ensure the site's continuation with at least 250 employees until the end of 2028. However, the workforce has since decreased from approximately 450 to the current 216.

We have reacted to changing market conditions multiple times, adapted concepts, and submitted constructive proposals. We are all the more disappointed and horrified by this decision.

— Percy ScheidlerChief representative of IG Metall Aschaffenburg, criticizing Magna's decision.

The IG Metall union has sharply criticized Magna's decision, calling it a betrayal of prior commitments. "Contrary to the assurances made three years ago, no new products were placed at the site, nor were they relocated from other sites to Dorfprozelten," said Percy Scheidler, the chief representative of IG Metall Aschaffenburg. He added, "We have reacted to changing market conditions multiple times, adapted concepts, and submitted constructive proposals. We are all the more disappointed and horrified by this decision."

Magna has not delivered agreed-upon work, orders, and facilities, and has now decided that the site is no longer viable. Entrepreneurship looks different!

— Percy ScheidlerExpressing disappointment with Magna's management.

According to the union, Magna's management has also decided not to further develop or bring the "LC mirror glass" technology, considered central to the site's future, to series production. Christoph Curs, a union secretary and works supervisor, noted that "significant funding from the Free State of Bavaria was used for the development and marketing of the LC technology, but the serious intention to bring the product to market has not been shown."

The serious intention to bring the product to market has not been shown.

— Christoph CursUnion secretary and works supervisor, commenting on the non-development of LC mirror glass technology.
DistantNews Editorial

Originally published by Die Zeit in German. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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