Seventy-seven employees at an automotive parts manufacturer in Coleraine, County Londonderry, are set to lose their jobs.
That is about one third of the AVX workforce, which has supplied electrical capacitors for 50 years.
The firm said the coronavirus pandemic had resulted in declining demand for its products.
Union Unite said that the job cuts were a "significant blow to the North West economy".
Unite's regional officer Liam Gallagher said the union had been working with the company through the government's furlough and flexi-furlough scheme since last November to protect the TTP product line.
"The company had established a second production facility in Penang, Malaysia, which was taking away jobs but the downturn in demand in the sector for these components was the last straw," added Mr Gallagher.
Redundancy negotiations will begin on Monday.
The company said it now needs to re-align the business to reduced market demand.
"We very much regret having to make these proposals, and do not underestimate the affect it will have on our workforce," said Martin McGuigan, the senior vice president of AVX Europe.
"However, it is essential that we continue to effectively manage our cost base."
AVX remained focused on "developing and maintaining a sustainable business in Coleraine", he added.