German chocolate maker Gubor to close factory

Core Insights - Gubor Group, a German chocolate producer, will close its Cadolzburg factory by the end of April due to significantly reduced capacity utilization and increased costs over the past four years [1][4] - The closure is part of a comprehensive realignment strategy, which includes relocating production lines to other manufacturing sites within the group [1][2] Group 1: Factory Closure Details - The Cadolzburg plant has been operating at irregular capacity, leading to idle times and higher fixed costs, which have further diminished competitiveness [2] - After the closure, Gubor will operate 11 production sites instead of 12, following its earlier merger with Colian [2] Group 2: Market Conditions - Gubor has faced a decline in demand for years, attributed to rising raw material and energy prices, increased international competition, and the necessity to pass on price increases to customers [4][5] - The company does not foresee a market recovery in the near future, prompting the need to adapt production capacities to align with market requirements [5] Group 3: Product and Operations - The Cadolzburg factory specializes in manufacturing chocolate-hollow figures and confectionery gifts for numerous countries worldwide [3] - Despite the closure, the wider Cadolzburg site will continue to play a role in cross-plant functions such as purchasing, marketing, sales, and IT [3]