Automotive supplier Toyoda Gosei to shut down Swansea and Rotherham sites
Auto parts supplier Toyoda Gosei will shut down its UK sites, endangering more than 450 jobs in Swansea and Rotherham.
Toyoda supplies body seal components for major car manufacturers including Toyota, Honda and Aston Martin.
The company confirmed on Wednesday April 28 that it was closing its UK branch, putting 458 jobs at risk at its factories in Gorseinon, Swansea and Rotherham.
The company recently took steps to restructure its European operations by moving some of its production to its main site in the Czech Republic, which will become a production hub after plant closures in Germany and the UK.
It is understood that staff working at the South Wales facility have been called to a meeting on Wednesday morning and informed that the plant will close in 2023, although this has not yet been confirmed by the business.
A formal consultation period will now begin to discuss the “proposed changes” with employees, according to a statement from Toyoda Gosei.
The Japan-based company, which opened its Swansea site more than 20 years ago, said it was making the move “in response to the continuing evolution of the global automotive industry and a significant reduction in demand for vehicles. main UK customers “.
They added that they did not foresee any future growth in business in the UK.
A statement from Toyoda Gosei said, âToyoda Gosei Co., Ltd. announced that Toyoda Gosei UK Ltd. (TGUK) has informed its employees of a proposal to close the company in the United Kingdom (UK). consultation period with its employees regarding the proposed changes.
âThe proposal follows continued changes in the global automotive industry and a significant reduction in demand from key UK customers. Due to these changes, Toyoda Gosei does not foresee any growth of its business there and has decided to make this proposal.
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âRestructuring its global business is part of Toyoda Gosei’s efforts to achieve sustainable growth in the future. The company has already taken steps to reorganize its business in Europe, selling its shares in an auto parts production subsidiary in Germany in December 2019 and shifting some production to its main European manufacturing site, Toyoda Gosei Czech, sro (TGCZ). It will continue to improve its productivity and strengthen its European activities with TGCZ in a central role.
“Toyoda Gosei will react quickly and flexibly to accelerating changes in the business environment with the aim of achieving sustainable growth in the future.”