Thyssenkrupp announced the closure of its Galmed galvanized steel plant in Sagunto and the dismissal of 120 workers. The company said it has started talks with PowerCo to seek employment possibilities for these workers.

The decision was due to lower demand for galvanized steel caused by the significantly deteriorated automobile market in Europe.

The Galmed plant has an annual production capacity of 450,000 tons of hot-dip galvanized steel, mainly serving the automobile industry.