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On 15 August 1937, the iron and steel supervisory authority ordered a production restriction of 30 percent compared to the production from 1 July 1935 to 30 June 1936 in the entire sanitary and sewer castings sector. This dramatically affected the Carlshütte. Initially, it was possible to fall back on stocks. Thus, from August to December 1937, the Carlshütte recorded only a 17.5 percent decline in sales of foundry products. Asbestos cement panels were used as a substitute for cast-iron underlays for continuous firing furnaces, and these were then also used for the back walls and floors of coal and gas cookers. Iron savings of 20 kg per cooker were achieved with the asbestos cement panels. The Carlshütte annual report of 1937 described the consequences of the manufacturing restrictions and bans: "The sales policy during 1937 was therefore essentially determined by the question of raw material procurement and the use or creation of adequate substitutes."