Recently, Evonik announced a capacity optimization plan under which it will shut down two small plants in Germany next year: its Hamburg plant and its Bitterfeld plant, affecting about 90 employees in total.
Bitterfeld Plant: To Shut Down at the End of April 2027, Exiting High-Purity Silicon Tetrachloride Production
The Bitterfeld plant employs about 40 people and mainly produces chlorosilanes, including high-purity silicon tetrachloride. The plant is scheduled to be shut down at the end of April 2027.
Evonik stated clearly in an official statement that the decision stems from the continued deterioration of the market environment for high-purity silicon tetrachloride: new supply in Asia continues to come on stream, intensifying competition in the industry. At the same time, the plant’s equipment has long operated at low utilization rates, making economically viable operation difficult. Evonik had previously evaluated various alternatives, including adjusting the operating model, reducing capacity, mothballing equipment, and selling the site, but none could guarantee long-term sustainable economic returns, so it ultimately chose closure.
After the shutdown, Evonik will mainly rely on its Rheinfelden plant in southern Germany to continue ensuring customer supply.
Hamburg Plant: To Close in Mid-2027; Care Ingredients Business to Move to Essen
The Hamburg plant employs about 50 people and produces cosmetic and personal care ingredients. It is scheduled to close in mid-2027. The related business and accumulated technical expertise will be integrated into Evonik’s Essen-Goldschmidtstrasse plant, which will continue operating. Essen is already a core production base for the Care Solutions business line.
Evonik said the business segment has continued to face margin pressure due to weakening global demand and intensifying international competition, consistent with the difficulties facing the chemical industry as a whole.
Evonik Interim CEO: Site Layout Is Too Fragmented, Driving Up Costs and Weakening Competitiveness
Evonik Interim CEO Claus Rettig said in the statement: “In some areas, our production, administrative and laboratory footprint is too fragmented, resulting in unnecessary high costs and weakening our competitiveness. We therefore need to consolidate sites and concentrate resource allocation in order to improve efficiency and accelerate innovation.”
Hussin EL Moussaoui, chairman of Evonik’s Group Works Council, said the company will consult with employee representatives to develop socially responsible arrangements for affected employees.
High-Purity Silicon Tetrachloride Market Landscape
High-purity silicon tetrachloride is a key raw material for optical fiber preforms and semiconductor materials, and the continued release of new capacity in Asia is changing the global supply landscape. Several Chinese companies are advancing the construction of high-purity silicon tetrachloride capacity. At present, Sanfu Co., Ltd. has total capacity of 30,000 t/y and is operating at essentially full capacity. It is one of the few Asian companies whose product quality can meet the requirements of the European specialty optical fiber market, and its products have already been exported to Europe. Jianghan New Materials’ 10,000 t/y 6N-grade unit is under construction and is scheduled for commissioning in January 2027. The relevant capacity of Zhejiang Yage Xin’an, a subsidiary in which Wynca holds a stake, was officially put into operation in June 2026. The closure of Evonik’s Bitterfeld plant means Europe is losing another producer in the high-purity silicon tetrachloride sector.