The Pfalz Flugzeugwerke had to file for bankruptcy after the armistice and the dismantling of the production facilities under the French occupation. On 4 June 1919, A.G. Pfalz was re-registered; the company's purpose was documented as shipbuilding as well as the production and sale of industrial goods. The company went under in the general depression of 1932.
In 1937, the Flugwerke Saarpfalz were built on the factory premises, which again concentrated on aircraft construction and overhaul, including models such as the Junkers Ju 88 and the Heinkel He 111. In 1937 the company already had 200 employees, at the outbreak of war already 500 and towards the end of the war 1,500, many of them forced laborers. When the Allied troops arrived in March 1945, work was stopped.