Manufacturers Services Limited (MSL) is to close its plant in Athlone with the loss of 200 jobs.
The electronic component manufacturer cited "the continuing global downturn in the electronics industry" as the reason for the its decision to close the facility.
General manager Mr Mike Stenson, said: "During the nine years operating at the Athlone site, MSL has made significant contributions to the local economy."
"However, given the business climate and ongoing cost pressures, we are left with no alternative but to cease operations in Athlone".
The company said arrangements are in place for its existing customers to be served by other MSL facilities around the world.
The management has promised a 30-day consultation process with employees and their representatives. It also promised support and consultancy services to help those leaving the company to secure alternative employment.
A separate MSL operation in Galway, which employs 250 personnel, is understood not to be affected by the restructuring.
The Massachusetts-based company, which makes electronic hardware for companies that sell branded electronic equipment, has been undergoing a global restructuring of its operations.
The restructuring is expected to result in 4,500 redundancies.
The Labour Party Deputy for Westmeath, Mr Willie Penrose has said that the 200 redundancies announced today at Manufacturers Services Ltd in Athlone are part of a deeply worrying trend of job losses in the Midlands which must spur the Tánaiste Ms Mary Harney into tackling the jobs crisis in the region.
