Atlas Copco's Dynapac is to consolidate the production of planers and small pavers in a bid to improve efficiency and enhance customer service.
Under the consolidation plan, Dynapac will expand the manufacturing capabilities of its production facilities in Wardenburg, Germany and Karlskrona, Sweden, while the Lingen factory in Germany will be closed down.
Business area president of Construction and Mining Technique, Bjorn Rosengren said, "Atlas Copco's strategy is to focus on core activities such as product development, production of core components and final assembly in order to secure the long term profitable growth of the Group. This consolidation will play a part in that focus."
Under the plan, Atlas Copco will invest in new production facilities and a competence centre for planers at Karlskrona, while in Germany the manufacturing unit in Wardenburg will be expanded to include facilities for the design, development and production of small pavers.
A statement said the company will make all efforts to help the employees of the Lingen factory find new career opportunities following its closure by the end of this year.