AkzoNobel planning world class UK manufacturing plant

AkzoNobel has announced plans to build a world class, hi-tech manufacturing facility in the north-east of England, reinforcing its strategic commitment to accelerated and sustainable growth.

Around €110M is earmarked for the custom-built Decorative Paints site, designed to enable the company to deliver the most efficient supply chain operations, reduce operating working capital and accelerate its response to changing market and customer demands. The planned facility is within 25 miles of AkzoNobel’s existing site in Prudhoe and is anticipated to be operational by the end of 2014.

The plans include a proposal to close the company’s Prudhoe site and its manufacturing operations in Slough in three-and-a-half years’ time. They will now be put forward to employees for consultation. Production would be maintained at the required levels prior to operations being transferred. The intention is for Slough to remain the headquarters for the UK Decorative Paints business and for global research and development, and marketing.

"This shows that we will continue to invest in order to drive world class manufacturing capability, while enhancing customer service levels and ensuring we remain the world’s leading decorative paints business with well-known brands such as Dulux, Sikkens and Coral,” explained Tex Gunning, AkzoNobel’s Executive Committee member responsible for Decorative Paints.