Citing low market demand, Vestas says it will begin phasing out the production of its kilowatt platform, including the company's V52-850 kW and V60-850 kW turbines.
As a result, the company says it will cease production at its factory in Hohhot, China. Closing the plant, which employs about 350 workers, will result in annual savings of $10 million euros, Vestas says.
The company notes it will honor sales commitments for kilowatt turbines and ensure that any ongoing negotiations for kilowatt orders will be finalized.
The company says that servicing the kilowatt platform will remain an important business unit and that it will continue to offer service solutions to the owners and operators of the kilowatt turbines.
Vestas' remaining Chinese business operations are spread among two production bases in Tianjin and Xuzhou and two offices in Beijing and Shanghai.