Indian steel giant Tata Steel intends to cease operations at its Living Solutions site in Shotton, Wales, which will most likely lead to the loss of 180 jobs at the plant.
The company pointed to the continuing weak construction market and the impending completion of a long-term agreement in the defense sector for the decision, adding that Living Solutions has never been profitable.
The business, which was established in 2003, used the company's steel to make modular buildings for the construction industry.
"The company will explore all opportunities to re-deploy employees where practical and to assist those people leaving the business through a range of support services," Tata Steel said.
This announcement does not affect any of the other businesses in Shotton.