450 jobs on the line as Wärtsilä axes engine manufacturing Trieste
Wärtsilä said it would enter into discussions with employee representatives and the competent authorities and institutions in accordance with Italian law.
The engine manufacturer said it is centralizing its production of four-stroke engines in Vaasa, Finland, and that the Trieste site will continue to focus on R&D, sales, project management, supply, service and training.
The decision was described as optimizing Wärtsilä’s European manufacturing footprint, with estimated annual cost savings of around €35 million by 2025, with transformation costs around €130 million. and a cash flow impact of approximately €75 million.
“Over the years, we have continuously consolidated our manufacturing footprint in Europe. With our new European industrial footprint, we are taking another step in strengthening our competitiveness and creating a structure conducive to future growth. Italy and Trieste will continue to be very important to Wärtsilä in many areas as we aim to help shape the decarbonisation of the marine and energy industries,” said Håkan Agnevall, President and CEO of Wärtsilä.
Roger Holm, chairman of Wärtsilä Marine Power, said the company is “looking into opportunities for future investment in Trieste related to the development of sustainable fuels technology”.