Vallourec is laying off 900 workers across North America.
While the company will continue servicing clients, it is leveraging its global footprint to reduce costs, which include the 900 redundancies.
Vallourec’s customers in the flagging oil and gas sector have moderated their demand for its tubular products, providing the impetus for which the company is laying off 39pc of its workforce. The company noted that there will be redundancies across all of its North American facilities, which will occur through at least the first half of April.
With a workforce of 2,300 people in 20 manufacturing facilities and service operations in the US, Canada and Mexico, Vallourec North America primarily serves the continental offshore and onshore oil and gas market, as well as the power generation and industrial sectors. The company’s steel production sites are located in Texas, Ohio, and Oklahoma.
Vallourec operates plants in Brazil, North America, Asia, the UK, and Germany, which will continue operating normally. Its French plants have adopted shift patterns to ensure operational continuity and to protect employees from contracting COVID-19.