Independent testing has found a Dales forging factory's 5,600 tonne press to be creating an unacceptable level of noise, after years of complaints from residents.
And Derbyshire Dales District Council has served a noise abatement notice against Firth Rixson Forgings after experts confirmed the noise was loud enough to be a statutory nuisance.
The district council's community and environment committee voted
in favour of giving the Darley Dale company four months to reduce its noise levels, by seven votes to six.
If Firth Rixson fails to comply with the notice it could face legal action, with the potential for £20,000 fines and seizure of its equipment.
Darley Dale Residents' Action Group – which has campaigned for Firth Rixson to reduce its noise levels and working hours – welcomed the news.
Campaigner Tim Ford said: "We are glad the council have actually done something now after being put under such pressure.
"But it's still just as bad and it went on to 10.30pm last night.
"We don't want them to close – that's the last things we want to see – but just don't want them to be making this level of noise," he added.
Firth Rixson managing director Martin Quigley told councillors his company had done everything possible to reduce noise and pleaded for any formal notice to be delayed.
He warned an immediate notice could threaten his business, as it needed 60 days to decide how to fix the problem and gather funding for the work.
But the council said there was no direct evidence to back up the company's claim it was doing all it could to prevent the noise.
No-one from Firth Rixson was available for comment before going to press.
