The plant will cease production in August 2012 and was announced after Novelis reviewed its manufacturing operations in North America.

The company said the decision was driven by the need to right-size production capacity in North America, along with the increasing logistics costs and structural challenges facing the location.

“This business decision is not a reflection of the dedicated workforce that comprises the Novelis Saguenay Works team – they have been providing the highest levels of product quality and customer service for more than 40 years,” added Tom Walpole, Senior Vice President and President, Novelis North America.

Saguenay Works produces hot band aluminium coils for supply to other Novelis plants. The facility opened in 1971 on more than 15 acres and covers more than 150,000 square feet. A total of 157 people are employed at the site.