The Hasselt-based company Steinzeug-Keramo may cease its production of sewer pipes entirely, as was revealed on Friday during a special works council meeting.
The announcement, confirmed by several sources to news agency Belga, follows earlier plans for a temporary production halt until early April. The company has now issued a statement of intent to permanently end production.
Management cites high energy costs and the ageing condition of the kiln used for manufacturing clay pipes in Hasselt as reasons for this decision. The old kiln has reportedly caused quality issues that have become too significant. Building a new kiln is considered financially unfeasible, particularly as similar clay pipes are also manufactured at Steinzeug-Keramo’s German facility, which benefits from a more advanced kiln.
According to the company, continuing production in Hasselt would not be viable without major upgrades, but the cost of such investments, coupled with strict environmental regulations, makes the option unsustainable. Management emphasised that high labour costs were not a factor in the potential closure of the Hasselt site.
The factory has already seen significant downsizing over the years, with its workforce shrinking from around 500 employees in the early 2000s to just 144 today. The company has also suffered financial losses in recent years, amounting to over €5.3 million across the 2023 and 2024 financial periods.
If the production closure is confirmed next Tuesday, a large portion of the staff is expected to face collective redundancy. However, some employees may be able to transfer to other Steinzeug-Keramo group facilities, such as Pipelife plants in Kalmthout and other locations. Discussions on employee relocation and the future of production will take place in the coming weeks.
