Cost-Saving Initiative
WACKER has announced a cost-saving target of over €300 million annually. This initiative, named PACE, was launched in response to a challenging business environment. The focus is on reducing fixed production costs and administrative expenses.
Job Reductions
As part of the cost-saving measures, WACKER plans to cut more than 1,500 jobs worldwide. The majority of these reductions will occur at the company's sites in Germany. This move is expected to contribute significantly to the overall savings target.
Implementation Timeline
The implementation of these measures is scheduled to begin in the first quarter of 2026 and is expected to be completed by the end of 2027. A project team is currently developing the necessary measures to achieve these targets.
Challenges in Germany
WACKER's President and CEO, Christian Hartel, highlighted the challenges posed by high energy prices and bureaucratic obstacles in Germany. These factors are seen as significant barriers to the successful development of the chemical industry in the region.
Economic Pressure
WACKER, like many other companies in the chemical industry, is under economic pressure. The company has already indicated that its net income for 2025 is expected to be negative, underscoring the urgency of the cost-saving measures.
