Russia’s invasion of Ukraine could claim the scalp of one of Hull’s historic firms.
Fenner Dunlop Engineered Conveyor Solutions is reviewing the viability of its Marfleet Lane factory, with 71 jobs understood to be at risk. The company said a significant percentage of its sales are into Russia - with trade seriously impacted by sanctions imposed against Vladimir Putin’s regime.
Part of the Michelin Group following a 2018 buy-out, Fenner was founded in 1861 by Joseph Henry Fenner in Hull’s Bishop Lane, later moving to Marfleet. It remains one of Fenner’s principal UK manufacturing locations, specialising in conveyor belts for the mining industry, and had been a listed entity until a reported £1.2 billion swoop in 2018.
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The company said the attacks which launched in February on Ukraine led to extreme trading challenges and Fenner Dunlop said it is no longer in a position to supply its largest market. Employees were informed last week of the threat of redundancy, and a consultation process began immediately.
Jim Jones, managing director for Fenner Dunlop Engineered Conveyor Solutions UK and India, said: “We have been very transparent with employees about the issues we are facing because of the conflict between Russia and Ukraine, and we will continue to be open throughout this entire process.
"The unfortunate fact is, we are no longer in a position to supply our biggest market, and we believe this will be the case for the long term.We understand the announcement will create uncertainty for employees, but I want to assure them that they will be supported every step of the way and that we will do all we can to find the most positive outcomes possible for both employees and the business.”
The review will attempt to find alternatives to closing the Marfleet factory. Michelin, a French multinational - best known for its road tyres - suspended industrial activity in Russia in mid-march, as well as exports to the country. It has a plant there, in Davydovo, employing 750 people, making car tyres and retreaded truck tyres, for local markets.
At the time, a spokesperson said: "In this very difficult and uncertain context, Michelin’s priority is to support all ofits employees who are impacted by this crisis, including its Michelin Russia employees. The group remains fully mobilised and will continue to adapt its decisions as the situation evolves."
Fenner first made belts from leather for power generation, switching to reinforced polymers as it entered the mining sector, with oil and gas and pharmaceutical other markets. At the time of the deal, Fenner Plc employed 5,000 staff across 20 countries, with a headquarters at Hesslewood Office Park, Hessle.
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