Norsk Hydro, the Norwegian aluminium and renewable energy giant, has announced plans to lay off about 750 white-collar employees. Just two months after signalling a temporary hiring freeze without specifying the affected business areas, the company has escalated the measure into targeted job cuts.
The announcement comes against a backdrop of widespread job cuts in the aluminium industry, driven by the United States’ steep 50 per cent import tariff. In Canada, for example, Canada Metal Processing Group was forced to lay off 140 employees as a direct consequence of the tariff. Hydro, however, is largely insulated from this pressure, thanks to extensive domestic sourcing, pass-through pricing, and minimal cross-border exposure. Its Hydro Extrusions and Aluminium Metal division holds a 15–20 per cent share in key segments of the European automotive market, and with only 6 per cent of Europe’s vehicle production bound for the US, the tariff’s impact on Hydro remains limited.
Then, what’s the real reason?
According to Hydro, this action is part of the decision to scale back 2025 capital expenditure from NOK 15 billion to NOK 13.5 billion. But focusing cuts solely on white-collar roles suggests a move to realign resources with strategic goals and evolving business needs.
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