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Solvay Reduces Spain Soda Ash Capacity Amid Market Oversupply

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Feb 24, 2026
  • Solvay to reduce Torrelavega soda ash capacity to 420 kilotons from 600 kilotons
  • Decision driven by global oversupply and high European energy and carbon costs
  • Sodium bicarbonate production at the site remains unaffected
  • Biomass project supports reduction in coal use and energy transition goals
  • Up to 77 positions expected to be impacted following consultation process

Solvay announced that, effective in the third quarter of 2026 and subject to the required consultation process, it will reduce soda ash production capacity at its Torrelavega plant in Spain to 420 kilotons, down from 600 kilotons. Sodium bicarbonate operations at the site will remain unchanged.

The decision comes amid difficult market conditions marked by global oversupply and persistently high energy and carbon costs in Europe. By scaling back output, Solvay aims to reinforce the competitiveness of its global soda ash portfolio while safeguarding the long-term future of the Torrelavega facility. The company considers the adjustment necessary to preserve the remaining production capacity under current economic pressures.

Solvay’s leadership stated that soda ash remains a core product for essential industries and that the group continues to support the business. The company is investing in measures designed to secure its position over the long term, including the development of carbon neutral soda ash processes as part of its broader energy transition plans. At the same time, it has called for regulatory conditions that reflect the realities of industrial operations and the scale of investment required for transformation.

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Following the adjustment, the Torrelavega site will concentrate on serving regional soda ash customers alongside premium sodium bicarbonate clients. Its geographic position and ongoing sustainability initiatives are expected to support this focus. Supply to customers will continue to be ensured through both the site itself and Solvay’s wider global network. The revised operating level is also aligned with the company’s energy transition commitments, including a significant biomass project aimed at reducing coal consumption.

The measure is expected to result in a net reduction of up to 77 positions. Solvay stated that it will manage the process in consultation with employee representatives, with the intention of implementing socially responsible solutions and providing appropriate support for affected staff.

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Udeesha Tomar

AVP - Strategy and Solutions

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