Enfield solar parts manufacturer STR Holdings Inc. announced Tuesday it will close its Malaysia facility, as a newly launched investigation by the European Commission that may result on anti-dumping duties on STR’s products.
STR, which is majority owned by China-based Zhenfa Energy Group, will close the Malaysia encapsulant production facility on Aug. 2. The company will continue to operate its Spain and Chinese facilities. It closed its East Windsor facility in 2013.
The Malaysia closure is the result of the European Commission investigation, which could put anti-dumping and countervailing duties on solar cells and modules consigned from China and assembled in Malaysia and Taiwan, according to the STR board of directors. The board cited other factors as well, including underutilization of the plant and a new Malaysian taxes on STR products.
STR is working to sell its Malaysian real estate, which is valued at $8 million. The company expects to incur up to $1.5 million in severance and other exit costs this year but anticipates the closure will result in $2.4 million in annual savings.
STR also announced Tuesday two new additions from its senior management team, both hailing from Zhenfa.
Qu Chao, currently on the STR board of directors, will be the vice president of strategic investment for STR. Qu previously served as general manager of Zhenfa New Energy Group.
Kong Weijie has been appointed STR vice president for business development and general manager for STR’s encapsulant operations in China. He also serves as STR director of sales in China.
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