Bathroom product manufacturer Showerlux UK has announced that it ceased trading yesterday (August 23) making 16 staff in its Coventry head office redundant.
Tim Corfield of administrators Griffin & King will be dealing creditors with a view to putting the company into liquidation next month.
The company is owned by the Swiss Duscholux Group.
A press statement said that "as products became available to manufacture at a cheaper price from Asia, the Showerlux manufacturing facility ceased operation and the company was left with a core staff to import and sell to wholesalers and retail outlets".
managing director, Bob Bowler said: "This is a sad day for the company, its staff, its customers and its suppliers. I am sure that the Group are exploring ways and means to provide an after sales service for our customers in the UK."
Corfield said it was too early to say what the outcome for creditors would be, but that he would be looking for offers for company's available assets.