Goodyear Dunlop Tyres UK is cutting 585 jobs and ceasing production at its factory in Washington, Tyne and Wear. The company said it is no longer able to compete with the “low cost suppliers” from the Far East and Eastern Europe.
Richard Johnson, managing director, Goodyear Dunlop UK said: “The market for the type of tyres made in Washington is very competitive and is increasingly dominated by low cost suppliers from Eastern Europe and the Far East”.
A further 39 jobs at the company’s Wolverhampton plant will potentially be made redundant as a result of this announcement. The Wolverhampton plant supplies Washington with components used in tyre production. The Wolverhampton plant will continue to employ around 450 people in other areas of tyre component manufacturing and processing.
Johnson said: “This is a difficult time for everyone involved. It is important that our attention is now focused on assisting our employees. We will work diligently throughout the consultation process to do everything possible to help employees to prepare for the future, including the provision of recruitment support and outplacement services.”
The Washington tyre plant was built in 1968 for Avon Tyres, but Avon sold the plant in 1969. Since then, the plant has been operated by SP Tyres UK Limited, with ownership transferring to Goodyear Dunlop Tyres UK in 2004.
The company says that it has been in talks with union representatives regarding redundancies.