Systemair will discontinue production at the Group's facility in Waalwijk, the Netherlands.
Approximately 70 employees at the production facility are affected.
Systemair will conduct the process in close dialogue with employees and employee representatives and will provide support throughout the transition.
Consultations with employee representatives regarding the proposed restructuring have been initiated. Subject to the outcome of the consultation process, the phase-out is expected to be completed at the beginning of 2027.
The intention is to gradually phase out production in Waalwijk and supply the Dutch market from other manufacturing units within Systemair Group in Europe.
Systemair will continue to have a strong presence and customer service in the Netherlands with an operation including sales, service, logistics, technical support and product development activities, the company said.
Systemair CEO, Robert Larsson, said the decision to initiate consultations regarding the proposed closure had not been an easy one.
"At the same time, it is an important step towards creating a more efficient production structure and strengthening our long-term competitiveness," he said.
"We are committed to carrying out the transition in a responsible manner and with respect for the employees affected."
The decision forms part of the Group's continuous review of its production footprint and is intended to improve efficiency, increase capacity utilisation and enhance profitability across its European operations.