The decision is the result of developments in the global market, according to the company. Growing competition in the paint industry means that it is no longer possible to produce paint in Denmark at competitive prices.
“I’m sorry that stopping production at our Lyngby plant will affect so many of our valued colleagues, but unfortunately we have no choice if we are to compete on the global market," said Pierre-Yves Jullien, CEO of the Hempel Group. "Fortunately, the timeline enables us to help those affected in the best possible manner.”
123 of the company's employees are expected to be affected by the closure in 2010.