Czechs shut down all operations in Poland. The plant had been operating for 150 years

After 146 years, the history of Metalurgia S.A. in Radomsko is coming to an end. The wire and nail manufacturer will be closed, and more than 100 employees will lose their jobs. The company’s owner points to falling demand in Europe, rising costs, and competition from China, which, as he claims, European firms cannot match.

The plant, owned since 2009 by the Czech group Třinecké železárny – Moravia Steel, recorded a cumulative loss of nearly PLN 30 million between 2023 and 2025. The owners cited weak demand in the EU, high production costs, and growing competition – especially from Chinese manufacturers – as the main reasons for the decision. The factory specialized in the production of galvanized, welding, drawn, and annealed wire, with an annual output of 500 million meters of wire and 860 million nails.

Renata Koska, director of the District Labour Office in Radomsko, told money.pl that the plant had been in restructuring for five years, so the news was not entirely unexpected, but it is still devastating. She added that layoffs will take place from 1 August to 31 December, with the peak expected in November. These are the largest redundancies in the region in years.

A slow decline despite restructuring

Roman Vybíral, president and liquidator of Metalurgia S.A., stated that the decision to cease operations was extremely difficult. He emphasised that it was their duty to act in a timely and transparent manner, while it was still possible to safely settle the company’s obligations to employees, business partners, and other stakeholders. The factory had been under restructuring since around 2020, but the financial situation continued to deteriorate.

The main challenges, according to the owners, include the persistently weak demand for steel products in the European Union. The situation has been worsened by high energy and labor costs, as well as the rapid inflow of cheap imports from China. Chinese producers offer products at prices that European manufacturers cannot match given the current cost structure, the company explained.

A blow to the local labour market

The closure of Metalurgia S.A. will directly affect 102 people. For Radomsko, a city with a population of around 45,000, this is a significant blow. The local labour office has already activated support measures for the laid-off workers, including job search assistance, retraining programs, and help with starting their own businesses. However, finding alternative employment for all of them in the region may prove challenging, especially given the declining industrial sector in central Poland.

The plant, founded in 1879, was one of the oldest continuously operating factories in the country. Its closure marks the end of an era for Polish metallurgy and raises questions about the future of Europe’s steel industry in the face of global competition. The case also highlights the vulnerability of traditional manufacturing to macroeconomic shifts and the aggressive pricing strategies of non-European producers.

Źródło: wnp.pl, Fot. Shutterstock/Konrad Krajewski

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