A computer and television production plant in Merseyside is shutting with the loss of 71 jobs.
The plant will shut by the early part of 2004
LG Philips made the announcement about its Southport plant on Thursday.
The firm blames its decision on poor business and economic conditions.
The company is also closing its plant in Newport, South Wales, with the loss of a further 870 jobs.
Bosses said the decision about Southport had been driven by the need to cut costs by sourcing products more cheaply overseas.
Peter Brotherton, site manager, said: "Despite all the efforts of everyone at the Southport plant, we cannot match the prices of products sourced from China and Poland."
Components used in the production of TV and computer tubes are manufactured at the plant, which will close at the end of this year or early in 2004.