Yesterday, Boehringer Ingelheim Chemicals, Inc., announced that the company will close its Petersburg, VA plant at the end of 2014. The facility will continue normal operations through the remainder of 2013 and phase out operations the following year. The closure will impact 240 employees through a multi-stage process starting in December 2013.
The company announced it will be offering out-placement services and will reach out to industry partners to explore other opportunities for employees.
The Petersburg facility manufactures active ingredients for the pharmaceutical industry. BICI’s parent company conducted an exhaustive review of its current manufacturing capabilities world-wide, as well as needs in the industry, and determined that it had more capacity than the marketplace can sustain.
“The pharmaceutical industry is going through dramatic changes and manufacturing needs are being impacted by that change,” said Dr. Manfred Psiorz, president and CEO of Boehringer Ingelheim Chemicals. “Our employees did a fabulous job operating this plant, but this decision was driven by factors in the market that were beyond our control.”
Boehringer Ingelheim Chemicals explored selling the facility but was unable to find a suitable buyer. The company has committed to working with city and state officials to find an appropriate use for the facility.
The company announced it will begin working with its customers immediately to ensure a smooth transition to new suppliers.