Albstadt: The ongoing weakness in demand and structural changes in the international textile industry continue to put economic pressure on Groz-Beckert’s core business, Textile Tools. Since a market recovery is currently not in sight, adjustments to production capacities and organizational structures at the headquarters in Albstadt are necessary. This will involve a workforce reduction of 120 positions by the end of 2027. Management informed the workforce of the measures that had been decided upon on October 15, 2026, during a company-wide meeting.

Persistent decline in demand is weighing on the core business
The economic performance of the Textile Tools division has been declining for several years. This trend continued in fiscal year 2026 as well. The reasons for this include significant global overcapacity in textile production, intense international competition and price pressure, as well as persistently weak demand. At the same time, production capacities and investments are increasingly shifting to lower-cost regions.

China, in particular, continues to gain importance both in the production of textile fabrics and in the textile machinery industry, thereby altering the structure of international competition.

In addition, geopolitical tensions, uncertainties in international trade, and a reluctance to invest are weighing on market development. A sustained recovery in demand is not foreseeable under these conditions, and this has a direct impact on production capacity utilization. Demand for textile tools remains below previous levels, which is also changing the requirements for the business unit’s production and organizational structures.

Adjustment of production capacities and structures
The planned job cuts are part of a series of measures aimed at realigning production and technical operations at the Albstadt site. The goal of these measures is to align production capacities with actual demand and to adapt cost and organizational structures to changing market conditions.

Implementation planned by the end of 2027
The reduction of a total of 120 positions is to take place gradually over the course of 2027. Groz-Beckert aims to implement these measures in a socially responsible manner.

About Groz-Beckert
Groz-Beckert is supplier of industrial machine needles, precision parts and fine tools, as well as systems and services for the production and joining of textile fabrics. Its products and services support the fields of knitting, weaving, nonwovens, tufting, sewing and spinning.
Groz-Beckert is part of the Groz-Beckert Group, which specializes in the development, manufacture and distribution of process-critical textile precision tools, industrial cutting solutions, textile reinforcements for the construction industry and composites.
The group consists of the companies Groz-Beckert, TKM and solidian and generated sales of 799 million euros in 2025 with around 8,800 employees worldwide. The company is active in more than 150 countries with agencies, production and sales subsidiaries.