Bosses at Hanson Cement, previously known as Castle Cement, in Clitheroe announced 30 jobs losses – reducing its Ribblesdale factory workforce from 108 to 78.
The company has also revealed that it is proposing to reduce production by 30 per cent.
Hanson Cement meets 25 per cent of the UK demand for cement and employs around 240 people in Clitheroe.
But the losses will only affect production staff, with transport workers and management, saved from the cutbacks.
The proposal comes against a backdrop of falling demand for cement and recent changes to the European Union carbon trading rules.
The carbon trading scheme is used to charge industries such as oil refineries, power stations and steel works for CO2 emissions as part of Europe’s efforts against climate change.
Jon Morrish, managing director at Hanson Cement, said: “We have carried out a comprehensive review of the business to prepare for what we expect will be a very tough market in 2012 and beyond.
“This detailed appraisal, which included an assessment of recent changes to the European Union carbon trading rules and encompassed all three of our cement plants, has now been concluded.
“The most significant outcome is a proposal to increase production at our Padeswood plant in North Wales, with a proportionate reduction at Ribblesdale.”
In addition, the management teams at Ribblesdale and Padeswood are set to be combined.