SolarEdge Technologies announced on Jan. 21 restructuring plans to reduce operating expenses and revise its cost structure, including a global workforce reduction.

The workforce reduction will impact approximately 16%—about 900 employees—of the company’s global workforce. A sizable portion of that percentage will be employees from manufacturing sites.

Along with reducing workforce numbers, the company also is discontinuing manufacturing in Mexico and light commercial vehicle e-mobility operations, as well as reducing manufacturing in China.

“We have made a very difficult, but necessary decision to implement a workforce reduction and other cost-cutting measures in order to align our cost structure with the rapidly changing market dynamics,” SolarEdge CEO Zvi Lando said in the press release. “We remain confident in the long-term growth of the solar energy market and our leading position in the smart energy space.”