Eaton closing Caesarea hose plant

ERJ staff report (BC)

Eden Prairie, Minnesota – Hydraulics supplier Eaton’s FilFlex hose facility in the municipality of Caesarea, Israel, will close “possibly by the end of the year”, Eaton said.

Camie Melton Hanily, Eaton’s business communications manager, told ERJ that FilFlex had experienced a substantial decline in orders since 2012, mainly caused by market weakness in the industrial areas it serves.

Eaton expects “approximately 40 employees to be affected by this announcement over time.”

Melton Hanily added: “The site’s management met with employees in June to share the company’s intention to halt production and close the plant. … This was discussed with employees’ representatives in accordance with the law.

“This action is not a reflection on the dedicated employees who have worked very hard over the years to meet customer needs. Eaton is strongly committed to treating affected employees with respect and care.

She added as background that the Caesarea plant manufactures hydraulic hose used on agricultural machines, among other applications. It has been an Eaton site for one year, since the acquisition in 2012 of Turkish Hose Manufacturer Polimer Kauçuk Sanayi ve Pazarlama A.S.

Melton Hanily concluded that the plant has exported to “as many as 11 different countries”, and that its local manager had received no offers from potential purchasers.

A commentator who wished to remain anonymous differed on several matters of fact concerning the closure. (S)he said: “The plant in the past was a rather successful manufacturing facility, known for its high-quality hydraulic steel braided hoses. Most of the products were exported to more than 20 different countries.

“Eaton, through its subsidiary Aeroquip, decided to close the plant despite previous statements of continuation, development and expansion. There were at least two offers to buy the plant but, for reasons which are mysterious and unknown, Eaton refused to even negotiate such a deal.”