The largest textiles producer of the Transnistrian region Tirotex no longer works. The company’s vice director Pavel Solodskii stated for the local TV channel TSV that almost all the employees were laid off, IPN reports.

Tirotex director Andrei Mejinski said the decision was taken following the huge losses sustained. In 2014, these came to US$14 million, while in the first quarter of this year to over US$3.5 million. Last year the company’s exports to Russia decreased two times, while to Ukraine – by 80%.

Tirotex employed about 1,500 persons and was the largest taxpayer in Tiraspol town. The local authorities anticipate the salaries of budget-funded employees from Tiraspol will now decrease.

TSV also reported that Ukraine in May intends to ban the import of goods on which excise duties are put, such as ethyl alcohol, cigarettes, oil products and vehicles, through border crossing points situated on the Transnistrian segment. After the given decision takes effect, all the goods will have to be transported through checkpoints controlled by the Moldovan constitutional authorities.

Transnistrian officials said this will lead to higher transportation costs, while the losses will rise to US$20 million.