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'Reduced volumes and high labour costs & energy prices'

Flooring manufacturer Beaulieu closes Belgian and Polish facilities

During special works council and staff meetings held yesterday (April 18th), the Beaulieu Flooring Solutions business unit of Beaulieu International Group (B.I.G.) (which saw its revenue decrease by about 10% in 2023) announced its intention to discontinue the production and sales activities of the Mats division and the production of the Luxury Vinyl Tiles (LVT) division. If this intention is confirmed, two factories will close, resulting in the loss of a total of 95 Belgian jobs.

The headquarters of Beaulieu International Group is located in Waregem (Belgium). In 2020, the company moved its international headquarters to a new office complex with a view of the E17 highway and the Waregem exit.

The Mats division is facing increased competition, reduced volumes, high labour costs, and energy prices, making it impossible for Beaulieu to remain competitive in the market. As a result of this intention, both the Belgian and Polish facilities will be closed.

The market for luxury vinyl tiles (LVT) has been facing overcapacity for several years due to the large regional supply and competition from Asian markets, which puts significant pressure on prices. Despite a transformation plan and several investments in growth in this activity, the current market conditions make it impossible to be profitable in its current form.

However, B.I.G. remains committed to its trading activities for LVT, offering various collections to its customers worldwide.

The intention to discontinue both activities would allow the Group to focus on the further development of its profitable segments, thereby contributing to the sustainable growth of the Group and the resulting employment of more than 4,700 employees worldwide.

Following this announcement, the legally required information and consultation process has begun. The company will present all facts to the employee representatives in complete openness and transparency.

More information:
Beaulieu International Group
Kalkhoevestraat 16 box 0.1
BE-8790 Waregem
T +32 56 62 59 00
[email protected]

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