The French court pulled the plug on Brandt, the century-old appliance maker once seen as a pillar of national industry.
Today, it ordered the liquidation after months of struggle under court receivership.
“This is terrible news, a shock and a very hard blow to French industry,” said its president François Bonneau, as 700 jobs will be cut by January 2025.
The Union of Brands of household appliance manufacturers (Gifam), which brings together around 50 such firms, says it regrets the loss of “part of France’s industrial heritage”.
“This situation illustrates the growing difficulty for the household appliance industry to remain competitive in France and more broadly in Europe in the face of the rise of low-cost products, particularly those manufactured in China,” said Olivia Guernier, secretary-general of Gifam.
Serge Grouard, Mayor of the city of Orléans where one of the manufacturers is located, criticised the decision.
“I am disgusted, I am angry, because the waste is immense. This venture was viable. The State and public authorities were ready to put more than €20 million on the table,” he said.
“Industry accounted for around 20 per cent of the French economy 25 years ago, whereas today it accounts for around 9 per cent. We’ll soon reach zero,” he added.
French Minister of the Economy and Industry, Roland Lescure, also confirmed that the State had thrown everything it had at trying to save the company.
“We pulled out all the stops, offering €5 million in support to enable a takeover. Local authorities also rallied to the cause. Despite this, the other key players did not wish to take a stand to save Brandt,” he said.
Orléans was prepared to invest €15 million to save the enterprise.
“Every factory closure is heartbreaking for employees, families and all those who have contributed to industrial expertise. The State will be extremely active in supporting employees through this painful process,” Lescure added.
France’s left-wing La France Insoumise party leader Jean-Luc Mélenchon today questioned the court’s decision.
“The Nanterre commercial court has ordered the judicial liquidation of Brandt. It has rejected all offers, including the one for a takeover by the employees. The State bank BPIF is doing nothing.
“There will be no more household appliances produced in France. It is time to ask why such courts have the power to reject everything and destroy everything,” he said on X.
Pushed by the left-wing parties, the French parliament recently decided to nationalise the steel manufacturer ArcelorMittal France as a way to “maintain steel production in France”. The French Senate still has to approve the bill.
The Brandt Group, through its brands Brandt, Vedette, Sauter and De Dietrich, was the last French manufacturer of large household appliances.
