UK forklift firm to move production overseas

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Forklift truck manufacturer Linde is to end production at its Basingstoke factory, with the predicted loss of 350 jobs. The announcement came yesterday (16 June) from parent firm Kion Group, which blames the recession and a 50% drop in global demand for this type of equipment.

The move will bring to an end 60 years of forklift production in the town. The group says Linde needs fewer, larger factories rather than the numerous specialist sites it currently operates. "For economic reasons, as a result of the dramatic market deterioration, the high fragmentation of production in relatively small plants necessitates a concentration on major sites," says Kerry McDonagh, chief executive of Linde Material Handling (UK). "Much to our regret, the relocation of the reach trucks, counterbalance trucks and tractor product lines to larger factories is inevitable." The proposal is to move production of these items to France and Germany over the next 12 months. Around 250 people will remain in Basingstoke, working in administrative and sales roles, though the proposals have yet to be finalised with unions and employees. Kion confirms that Linde's other UK factory in Merthyr Tydfil – where it employs 280 producing heavy duty and container handling trucks – is to remain and is "a core manufacturing site" for the business. Forklifts have been made at the Basingstoke site since 1949, when Lansing Bagnall took up residence at the factory. Lansing was bought by the Linde group in 1989.