Wärtsilä is Adjusting to Changes in the Market

Wärtsilä has recently analysed its manufacturing footprint. To adjust to the fundamental changes in the market the company plans to reduce its manufacturing capacity. Wärtsilä also plans to move the majority of its propeller production and auxiliary engine production to China, close to the main marine markets.

In the course of 2010 Wärtsilä plans to reduce approximately 1,400 jobs globally within the Group. Of these reductions 570 are planned to be in the Netherlands. The remaining reduction will impact various divisions, functions and countries and will be clarified during the first half of this year. Currently Wärtsilä employs 1,561 people in the Netherlands.

"The world has dramatically changed in a short period of time. China has become a strong maritime centre and its growth will continue. The low activity in the global marine market continued throughout 2009. Wärtsilä Ship Power order intake was significantly lower than during previous years. Competition in the market will intensify. By developing our manufacturing footprint and our businesses for the future key markets Wärtsilä will further improve its competitiveness and service to our customers in the tightening markets. It is our responsibility to ensure Wärtsilä's leading position now and in the future," says Ole Johansson, President & CEO.

Already in 2009 Wärtsilä utilised its flexible operating model to adjust the capacity to the new market demand and initiated and largely implemented actions to reduce approximately 600 jobs. Wärtsilä's personnel totalled 18,541 at the end of 2009.