Liebherr says it is proceeding with an orderly temporary wind down of its operations at its container crane factory in Killarney.
The company says it will continue to be available to supply essential service and support to its many customers, which will require a reduced level of staffing in its factory.
Liebherr employs up to 900 people in Fossa.
Since Taoiseach Leo Varadkar announced stricter restrictions to curb the spread of coronavirus on Friday night, Radio Kerry has been inundated with calls and texts from members of staff questioning why Liebherr Container Cranes continue to operate.
There has also been calls for clarification from the company from Deputy Pa Daly and Cllr Michael Cahill.
This morning, Liebherr issued a statement to Radio Kerry News saying it places the health and welfare of its employees, their families and the wider community first and foremost.
It has implemented remote working and staggered working and break hours, strict social distancing and extensive hygiene measures over the past number of weeks and it has thanked employees for their cooperation.
Liebherr says the new guidelines from Government includes manufacture of products necessary for the supply chain and allows an extended window for the wind down of complex manufacturing operations.
Liebherr has decided to proceed with an orderly, temporary wind down of complex operations to help limit the spread of COVID-19 and is seeking clarification for eligibility for the state subsidy scheme.