Preston will retain R&D, sales and support functions.

Goss has confirmed "a potential reduction" of the 346 Preston employees, but wouldn't disclose how many.

However, industry sources suggested that up to 240 jobs were in the balance.

Goss International chief executive Bob Brown would not be drawn on whether all manufacturing jobs were at risk, saying it was too "premature" to comment and Goss was "open to ideas that mean going forward in terms of meeting capacity goals".

He said the move was part of a global strategy to streamline manufacturing.

"We will maintain the engineering, sales, service and support facilities in the UK. We remain committed to product development plans of FPS at Preston none of that is changing," Brown said.

"We've looked at our organisation on a global basis and we're trying to make our decisions on where we can rationalise," he added.

"Preston has a very strong history and these decisions are never easy to make but we're like any company that's out there trying to come up with the most effective manufacturing footprint that it can."

He said since the company's acquisition of Heidelberg's web division, the firm had been integrating the businesses and "evaluating opportunities to improve overall competitiveness".

Brown added that he expected some production to go to the US because it was "the best fit with the rationalising of our product portfolio".

But he denied the move overseas had anything to do with a decline in UK sales in the past few years.

"Clearly there are some orders that we did not secure that's no secret but I don't think it had a lot of bearing on this decision."

Preston Factfile
- Established in 1936

- Developed Colorliner and FPS ranges

- Preston is one of nine worldwide sites

- 346 staff

- 240 jobs at risk, say industry sources

- Manufacturing may be relocated to US