Goodyear Tire & Rubber Co. has approved plans that would lead to some restructuring in the tiremaker’s Europe, Middle East and Africa (EMEA) business unit. These rationalization plans will help strengthen the company’s global competitiveness, Goodyear said.
The tiremaker plans to close its Wolverhampton, U.K., mixing and retreading facility and move production to other facilities across EMEA. Goodyear also plans to transfer consumer tire production from its Wittlich, Germany plant, according to a Form 8-K filed with the Securities and Exchange Commission. The restructuring and closure could result in 360-390 job loses, the tiremaker said.
Goodyear expects its plans to cost the tiremaker between $70 and $80 million and to complete by the end of 2016. By 2017, the restructure should result in an improved EMEA operating income of $30 million annually, the tiremaker said.
Goodyear’s plans remain subject to consultation with relevant employee representative bodies, according to the Form 8-K.
