German menswear manufacturer Dr Bock Industries, which produces clothing for brands including Hugo Boss and Gant, is permanently closing its production facility in Romania due to the impact of the coronavirus pandemic on orders.
The RHM Pants plant based in Covasna, Romania, is understood to have employed 235 people, according to a report published by Romania Insider.
“Due to Covid-19-related demand failures and order cancellations on the part of the most important customers, the capacity utilisation of the Romanian production companies cannot be guaranteed,” Dr Bock Industries said in a statement.
“The board of management and the supervisory board have therefore decided to shut down the RHM Pants plant in Estelnic because the identified drop in demand cannot be compensated for by short-term measures and because the market is not expected to recover in the short term.”
Founded in 1992, RHM Pants is one of the biggest trouser producing companies in Romania, according to Dr Bock’s website.
The group has another facility in Romania, Plantanus Romania, founded in 2004 and dedicated to producing men’s sports trousers and jeans and The Transilvanian Trousers Company, founded in 1996 also produces men’s trousers. In addition, it has a washing and dyeing facility in the country.
Dr Bock Industries also has a presence in Italy, Bulgaria, and Ukraine.