News Summary
PPG Industries Inc. has announced the closure of its Elverson facility in Chester County, impacting 82 workers. The closure, following a Worker Adjustment and Retraining Notification, will begin on August 18, 2025, and conclude by December 31, 2026. This decision comes as part of a strategy to enhance sustainability and reduce operational costs. The plant, producing low-friction coatings, was acquired by PPG in 2019 and has faced significant market pressures, including declining sales and net debt increases.
Pennsylvania – PPG Industries Inc. has announced the closure of its manufacturing facility in Elverson, Chester County, which will affect 82 workers. The company filed a Worker Adjustment and Retraining Notification (WARN) notice with the Pennsylvania Department of Labor and Industry detailing the closure timeline. The process will begin on August 18, 2025, and is expected to conclude by December 31, 2026.
The Elverson plant, previously part of Whitford Corp., produces low-friction, wear-resistant coatings used across various industries, including automotive, aerospace, energy, and construction. PPG acquired Whitford Corp. in March 2019, bringing the facility under its operation. The company is making this difficult decision as part of a continual review of its production footprint to enhance long-term sustainability.
Mark Silvey, PPG’s director of corporate communications, explained that the decision focuses on delivering consistent product quality and reliable services while seeking to reduce operational costs. Despite the closure’s impact on local employment, PPG has not elaborated on whether affected employees will have opportunities to relocate to different company facilities.
Established in 1883, PPG Industries is an American Fortune 500 company headquartered in Pittsburgh, operating in over 70 countries worldwide. It currently ranks as the second-largest coatings company globally by revenue. Recent financial reports indicate that as of April 2025, PPG recorded net sales of $3.7 billion, a 4% decrease from the previous year. Factors contributing to the sales decline include adverse foreign currency translations and the sale of its silica products business in 2024.
Additionally, PPG reported a net debt of $5.4 billion as of the last quarter, with an increase of $340 million year-over-year. The company faces pressures from declining selling prices due to specific index-based customer contracts, alongside overall decreased sales volumes primarily resulting from a downturn in automotive production.
The closure of the Elverson facility aligns with PPG’s broader strategy aimed at reducing structural costs. Layoffs may begin as soon as August 2025, continuing until the facility’s complete closure in December 2026. History reveals that Whitford Corp. has been a staple in the coatings industry since its founding in 1969, specializing in products like nonstick coatings for cookware.
As PPG advances its restructuring efforts, the company’s priority remains on maintaining strong customer service and product quality. However, the impending closure underscores significant shifts within the company’s operational strategy amidst challenging market conditions.
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