Ardagh announced the closure of a glass production factory in Houston targeting the beer market and indefinitely reduced a factory in Seattle serving wine bottle customers. A total of 464 employees will be affected by layoffs.

The spokesperson stated that the company has issued a Warning notice to Texas regarding the closure of its Houston factory, which will affect 220 workers. After reviewing the current beer market situation, we announce that we will be closing our glass production plant located in Houston, Texas in July 2024. The affected customer base will be supplied by Ardagh’s remaining glass manufacturing factories across the United States. Ardagh acquired the Houston glass production site from Anheuser Busch in 2021.

In addition, according to the Washington Warning notice, the company will temporarily lay off at least 244 employees when production stops at its Seattle factory. The company has stated that it will indefinitely reduce production there, which means layoffs may last for more than six months, although some of its employees’ will continue to work actively for a period of time ‘. If market conditions change, Ardagh stated that it will consider restarting production at the factory.

According to the notice submitted on June 17th, the layoffs at the wine bottle manufacturing plant are expected to begin on July 1st. At present, Ardagh’s remaining US production network will enable us to continue providing high-quality American made glass packaging to existing and potential wine customers The company stated in a statement.

The company stated in a statement, “Due to the continued pressure from low-priced imported products from China, Chile, and Mexico, as well as market conditions, we continue to face demand challenges for their American made glass

In terms of beer, Ardagh executives reported on several earnings conference calls that their own sales have declined due to the beer controversy, but did not specify the brand name. Last year, AB InBev faced consumer boycott of Budweiser pale beer, and Ardagh felt the trickle down effect. Prior to the announcement in Houston and Seattle, Ardagh permanently closed its glass factories in North Carolina and Louisiana last year, affecting over 580 workers.