Sweden’s Höganäs AB has announced that it will exit its water treatment business and close Höganäs Environment Solutions, LLC, based on a strategic decision to consolidate and focus on the group’s core business. The company stated it will focus on the continuing development of the competitive and sustainability advantages within Powder Metallurgy, electrification, surface coating and Additive Manufacturing.
Höganäs Environment Solutions was founded in 2017 in Cary, North Carolina, as the company’s business platform for research & development, commercialisation and support of environmentally focused products and solutions. The company offered the Cleanit advanced metals-based drinking water, industrial wastewater and environmental remediation products.
A contributing factor to the exit decision was last year’s imposed force majeure situation at Höganäs’ Niagara Falls plant, which ended in the closure of the site.
“This has been a hard decision to make, and we have worked thoroughly to explore options and investigate alternative routes forward,” stated Fredrik Emilson, CEO, Höganäs. “However, given the current market traction, we need to re-focus our efforts on our core business and continued sustainable business transformation journey. Our priority will be on helping the affected employees and we are committed to supporting them moving forward.”
This decision will impact around thirty of Höganäs’ employees and the closing of Höganäs Environment Solutions, LLC operations in Cary, North Carolina, US, as well as Environmental Solutions’ activities in Brazil, China and India.
Höganäs will start to wind down its business immediately and expects to cease operations at the Cary site by the end of June 2022.