Saint-Gobain stock advances Aviles furnace project after permit

Saint-Gobain received the final administrative approval on Thursday, November 12, 2026, for the construction of a highly electrified hybrid furnace for flat glass at its Aviles plant in northern Spain. Spanish regional newspaper La Nueva Espana reported that the Aviles city council granted the construction permit for the project known as FurHya.

The investment is set at EUR 100 million, with European funding covering 60% of the cost. Saint-Gobain is developing the furnace with AGC Glass Europe. The company expects the replacement facility to begin operating in the second half of 2027, extending the strategic outlook for the La Maruca plant for the next two decades.

Plant shutdown sets construction timetable

Saint-Gobain plans to stop production at the existing furnace on Monday, November 16. The old furnace is scheduled to be emptied from Sunday, November 15, so recyclable glass material can be recovered before the unit is cooled, dismantled and replaced. The dismantling and cleanup phase is expected to continue until Christmas.

The transition also affects the workforce. A temporary employment regulation approved the previous week covers 69 employees. The agreement provides a company supplement that lifts benefits to 80% of the regulatory base from November 24 for 300 days.

During the shutdown, Saint-Gobain said commercial activity would be intensified to shift Climalit Partners customers temporarily toward the lower-emission Orae range, supplied from other European plants. The company is positioning the Aviles investment around higher-value products, including laminated and coated glass, rather than relying solely on mass-production volumes.

Lower-carbon strategy faces price pressure

The furnace project is designed to reduce carbon dioxide emissions from glassmaking and fits Saint-Gobain's broader focus on lower-carbon, higher-value products. Management told unions that demand for glass in Spain and Portugal is expected to remain positive, supported over the medium and long term by building renovation and stricter emissions requirements for construction.

The local operation is nevertheless facing pricing pressure from Chinese imports. Saint-Gobain's management reportedly told employee representatives that some Chinese glass is sold at less than half the local price and urged European institutions to introduce protective measures. That competitive backdrop makes the planned shift toward quality, service and margin important for the plant's future earnings profile.

Saint-Gobain stock traded at 76.90 euros on Lang & Schwarz at 11:49 CET on Thursday, November 12, 2026.

European construction demand, Chinese import pressure and the execution of the Aviles conversion are the key operating themes for the Euro Stoxx 50 market environment.

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