Tulip Ltd has opened a consultation over the future of its pork manufacturing site in George Henry Road, Great Bridge, near Tipton, placing 642 jobs at risk of redundancy.
The site requires "significant investment and redevelopment", Tulip said.
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A Tulip spokesman said: "Tulip Ltd has announced it will be entering into collective consultation with employee representatives over the future of its fresh pork manufacturing site in Tipton.
"As part of its on-going operational footprint optimisation review and business recovery plan, the business has proposed to transfer operations from the West Midlands site to alternative sites within its UK network. This will place 642 roles at Tipton at risk of redundancy.
"Tipton has a long history and is well established in the local area with many long-serving employees, however, the site itself requires significant investment and redevelopment to cater for future requirements, while its location places severe restrictions on any further development.
"The business is keen to retain the experience and skills of the Tipton team where possible.
Transfer opportunities to alternative Tulip sites will be explored thoroughly if the closure is confirmed and employees will be presented with a number of options as part of the consultation process."