Envalior announces intention to stop Glass Fiber operations in Kallo, Belgium

Düsseldorf, 20 January 2026 - Envalior N.V. today announced its intention to cease glass fiber activities at the Kallo site. The announcement follows years of mounting pressure on the glass fiber market, where the combination of high production and energy costs, increasing imports from low-cost regions, and a structurally declining demand has made the activity no longer viable. The operations are intended to be discontinued by the end of 2026. This could affect approximately 220 employees. The intention was presented today to the Works Council, officially launching the mandatory information and consultation procedure.

Higher production costs than market prices
The glass fiber operations in Kallo have faced structural challenges for many years. The main causes include high energy, raw material, and labor costs, declining demand in key markets, and significant import pressure from low‑cost regions. Market conditions have shifted to the point where Envalior is producing glass fiber in Kallo at a cost that exceeds the purchase price on the market, making it impossible to compete profitably.

Despite extensive scenario analyses, intensive cost reduction measures, and other improvement initiatives, the outlook for the glass fiber activities remains negative. Production is and remains structurally loss-making, with no prospect of improved market conditions. Continuing operations would also require substantial investments in new furnaces, which cannot be justified in the current climate.

The intention applies solely to glass fiber production in Kallo and would only affect the production of chopped strands. Milled fibers will remain part of Envalior’s portfolio. All current activities on the Kallo site will continue as planned, without changes, until a final decision is made.

The intention does not affect the rest of the Envalior group, including the compounding business. Also, the Envalior N.V. site in Lillo remains fully operational.

“Market conditions in the European chemical sector are currently exceptionally challenging. The sector is under constant pressure from high energy, raw material, and labor costs, unfavorable exchange rates, increasing imports from low-cost regions, and a declining demand in key end markets. These factors have already led to multiple closures and restructurings across Europe. Envalior, too, feels the impact of these market dynamics, which forces us to make careful and responsible choices to remain a healthy and futureproof company in the long term,” says Geert Bussé, Managing Director Envalior N.V. Belgium.

Start of the information and consultation process
In line with Belgian legislation, the intention will now be discussed through a formal information and consultation process with employee representatives. Envalior will not be able to make a final decision on the discontinuation and any accompanying social measures until this process has been completed. Production in Kallo will continue as planned during this procedure.

“Our priority now is to conduct this process carefully together with the social partners and to support the affected employees to the fullest extent possible. We recognize the significant impact this intention may have on our employees, their families, and the local community. That is why we will carry out this process with the utmost care, transparency, and respect,” says Geert Bussé.

About Envalior N.V.
Envalior N.V. operates two production sites in the Antwerp harbor in Belgium and employs around 830 people. At the Lillo site, Envalior produces Caprolactam, Ammonium Sulphate, and Polyamide 6 (PA6), while the Kallo site is dedicated to the manufacture of Glass Fibers.

Glass fibers are an essential component in reinforced engineering plastics, making them stronger, stiffer, and more heat-resistant while maintaining low weight. These reinforced materials are used in many everyday applications, including automotive parts, household appliances, electrical and electronic components, and construction tools.

About Envalior
Envalior is a global leader in Engineering Materials with over 4,000 employees worldwide. It was established in 2023 through the merger of Lanxess Performance Materials and DSM Engineering Materials. With a long track record of customer-driven innovation, Envalior specializes in developing Sustainable and High-Performance Engineering Materials, including PA6, PA66, PBT, PA46, PPS, TPC (TPE-E), PET, PA4T, PA410, and Thermoplastic Composites. Focus markets include Mobility, Electronics & Electrical, and Consumer Goods. For more information, visit www.envalior.com.