The Welde plant in Cernavoda, which produces plywood from poplar wood in a unique way, was largely built for the European market. However, it was recently announced that the factory will close its doors, as reported by the Romanian economica.net.
The closure of Welde Cernavodă is just the tip of the iceberg in a wave of factory closures that has been increasingly in the spotlight recently. The tightening economic environment and the pressure of rising costs have forced Welde, like many other companies, into a situation of necessity.
The decision was taken last year by the two owners of the company, Welde GmbH of Austria and Welde Bulgaria, and will result in the closure of the plant by the end of 2023. The company was taken over by Welde in 2003 and production started in 2004. The plant has had a successful start-up, as a new part of the plant was opened in 2015, using domestic raw materials. The products made here were mainly supplied to the European Union markets.
Although Welde achieved a turnover of nearly RON 27.7 million in 2023, the figures point to difficulties: the company recorded a loss of RON 634,000 in the same year. These figures also confirm that the closure was partly due to economic constraints.
The closure of the factory has hit the 73 workers who were employed at the plant particularly hard. For the local community and the region, the loss of jobs can be a major economic challenge, with implications not only for individuals but also for wider society.
The story of the birth and development of the factory is an important example of how a company has sought to integrate local resources to maintain international competitiveness. However, this model has not proved to be viable in the long term in today's stressed economic environment.
The most important thing for the region now is to support workers through the transition period. Retraining programmes and the launch of new investments can help to alleviate the economic shock following the closure of the factory.
The current situation highlights the need to improve the adaptability and resilience of companies and regions in the face of rapidly changing industrial and economic conditions, thus ensuring economic stability.
