Around 100 employees at a factory in Fife are at risk of losing their jobs after the company announced plans to close the site.
The Silberline factory in Leven produces industrial pigments and coatings often used in cars.
It has been run by its American owners since 1974 but in January the firm was acquired by German business Eckart.
Silberilne said no final decision has yet been made but a consultation with employers about closing the plant had begun.
Silberline operations director Alan Sanddon said in a statement: “On April 9, we announced a proposal to close the Eckart (formerly Silberline) site in Leven.
“This proposal comes after a lengthy review of our operations in Leven, and is a result of multiple factors, including the global trend of regionalisation in our business.
“We have now started consultations with our affected employees and their representatives about this proposal.
“No final decision to close the site has yet been taken.
“However, if the proposal goes ahead, we will do everything we can to support our employees
“This proposal has not been formulated lightly and is a result of the difficult situation we find ourselves in.”
Follow STV News on WhatsApp
Scan the QR code on your mobile device for all the latest news from around the country
