According to foreign news reports, Goodyear Tire & Rubber Corp. is considering closing its Wolverhampton plant in the UK and reorganizing operations in the EMEA region (Europe, Middle East and Africa).
Goodyear shuts down restructuring of its UK factory EMEA
Goodyear also plans to transfer its production capacity at its Wittlich plant in Germany to the EMEA region. The company said in a statement that the current plan has been approved. "This move will help reduce production costs and increase global competitiveness."
The shutdown of the plant and restructuring of the business project will cost between US$70 million and US$80 million and is expected to be completed by the end of 2016. After the project is completed, it can bring 30 million U.S. dollars in operating profit every year.
Goodyear also said that the above project may affect 360 to 390 employees.
Last year, Goodyear closed its factory in Amiens, France, and has stopped producing farm tires in the EMEA region. The company’s severance payment for closing factories last year reached $95 million.
Currently, Goodyear has 67,000 employees worldwide and 17 factories in the EMEA region, which is also the second largest market after North America.
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