SCGD to Shut Two Tile Plants in Thailand

SCG Decor

Thailand: SCG Décor Plc announced plans to shut down two ceramic tile plants in Thailand as part of efforts to address rising production costs and weaker market conditions. The closures are expected to take place within 2026, reducing the company’s total number of tile factories in the country from four to two. The decision follows sustained pressure from higher energy costs, particularly natural gas, along with increasing logistics and raw material expenses, which have significantly impacted manufacturing margins.

The company is also reviewing its investment strategy, including delaying expansion plans in overseas markets such as Vietnam. The restructuring is intended to optimise production capacity and improve operational efficiency in response to slower demand growth in the construction sector. SCGD indicated that cost control measures and capacity adjustments will remain a priority as the company navigates ongoing volatility in input costs and regional market conditions.

Source: Bangkok Post