Nearly 400 jobs to be lost at Grangemouth chemical producer plant

Nearly 400 jobs are at risk after a chemical manufacturer announced plans to cease all operations at Grangemouth.

Syngenta, which is owned by the Chinese state company Sinochem, announced on Thursday that it has started formal consultations with trade unions and 377 members of staff.

The firm said it had been undertaking a detailed review of the Grangemouth plant and found it to be “significantly more expensive” to operate than its other production sites.

The announcement comes just over a year after the firm received more than £2m Scottish Enterprise funding, which was to be used towards a project to expand production at its local site.

Syngenta said they remain committed to considering alternative options for the site going forward.

Mike Hollands, Syngenta Crop Protection’s Global head of production and supply and president of Syngenta UK, said: “The workforce at Grangemouth is highly skilled and passionate, but despite all efforts, we have not been able to make the Grangemouth site competitive compared to alternative supply options.

“It is with a very heavy heart that we make this proposal, but we are committed to a constructive consultation and will continue to consider options as part of that process.”

The UK remains an important location globally for Syngenta, which employs more than 2,000 people focused on R&D, production, supply and commercial activities.

‘Extremely disappointing’

Stephen Flynn described the news as “extremely disappointing”.

The cabinet secretary for economy added: “My thoughts are with the workers, their families and the local community who will be affected by this decision”, he said.

“We made clear to Syngenta’s board our strong opposition to any potential scale down or closure of their Grangemouth site.

“It is therefore extremely disappointing to hear that the board has taken the commercial decision to enter a consultation period on the closure of the site despite the Scottish Government’s commitment to exploring support for its continued operations.

“During this period of consultation, I sincerely hope that the UK Government will now provide some of the £200m committed to Grangemouth, since not a single penny has yet been allocated from that fund promised in 2024. I will continue to press the UK Government on this.

“Our priority now is to ensure that the affected workers receive support, which is why the Scottish Government’s initiative for responding to redundancy situations, PACE, stands ready to help those who may be affected by redundancy.

“I have been briefed by the company, and aim to meet with the trade unions, local MSPs, and the UK Government later today.”

Brian Leishman, Labour MP for Alloa and Grangemouth, described the news as “awful” for the workers and the town.

“As the local MP I am here to support the workers and everyone that will be impacted by the closure”, he said.

“Both the UK and Scottish Governments worked together on a package that Syngenta described as very generous but the company see their future elsewhere.

“I cannot emphasise enough how important it is that the UK Government get spending the £200 million from the National Wealth Fund to bring industry and jobs to our town.”

Gillian Mackay, the Scottish Greens MSP for Central Scotland, added: “This is another devastating blow for workers and the local community in Grangemouth.

“Our Governments should be doing more to protect jobs and ensure that workers can benefit from our transition to a greener future.

“Grangemouth is my home, and I am concerned about what this will mean for the local community if it goes ahead.

“I will be working to make sure that there is a good outcome and support for workers who will be impacted by Syngenta’s decision.”

A Scottish Enterprise spokesperson said: “It is deeply concerning that the company has announced this proposal.

“Scottish Enterprise and our partners have worked closely with Syngenta to avoid job losses and had been exploring a package of support to help secure the company’s long-term future at Grangemouth, building on our previous recent support.

“We appreciate this will be a difficult time for employees and we remain committed to supporting them, exploring options for this site, and attracting new investment and jobs to the Grangemouth area.”

Unite national officer Tony Devlin said: “Unite is actively engaging with Syngenta about the company’s position to ensure the best possible outcome for workers.

“The closure of Syngenta would be a hammer blow for its workers, the local community and the Scottish economy.”

“We are examining all avenues to reverse the threat of closure with the company and with the UK and Scottish governments.

“Meanwhile, Unite is providing support, reassurance and advice to its members at this highly distressing time.”