Uponor is likely to cause around 120 redundancies in the first quarter of 2005

Uponor is closing a factory and offices in Spain and Portugal as part of a restructuring that has previously involved plant closures in the US and Europe.

The Finnish plastic pipes company said it will exit the infrastructure and environment sectors in the Iberian market. This will involve closing the factory and offices of Uponor Construзгo e Ambiente in Vila Nova de Gaia (Oporto), Portugal, and the offices of Uponor Resiplast in Spain.

President and chief executive of Uponor Jan Lang said: “Uponor's infrastructure business has suffered from unsatisfactory profitability in the Iberian market. Since we do not have a feasible plan to boost our market position, we decided to exit the business there.” Around 120 people will be made redundant when the shutdowns are implemented in the first quarter of 2005.

Uponor also has a factory in Mostoles, near Madrid, Spain, which serves the heating, cooling and tap water markets. Uponor said it will continue to develop its strongly performing housing solutions business in Spain and Portugal.