6 Feb 2025
US tire maker focusing on mixing and aviation tires at Danville factory, moving TBR production to other sites
Akron, Ohio – Goodyear expects to cut 850 jobs at its Danville production facility as it plans to repurpose the truck & bus radial tire factory for the production of aircraft tires and mixing.
In a 4 Feb SEC filing, the US tire maker said that it had reached an agreement with the United Steelworkers and approved a plan to reduce production capacity and production cost per tire in Americas.
The plan includes 850 job reductions, including associates and contracted positions, at its Danville, Virginia manufacturing facility.
Goodyear expects to substantially complete the rationalisation plan by the end of 2025 and estimates the total pre-tax charges of between $130-$140 million (€125-€134 million) associated with the move.
The company expects to record $100 million of the charges in its first quarter results with the remainder to be reflected during the rest of 2025.
Goodyear anticipates the actions will improve its Americas segment operating income by $15 million in 2025 and by $65 million annually thereafter.
The Akron-based tire maker disclosed its plans to repurpose the Danville factory in early January as part of its major ‘Goodyear Forward’ rationalisation plan, which aims to deliver over $1 billion in annual savings. (ERJ report)
Operational since 1966, the Danville facility employs 2,000 and is Goodyear’s only plant to manufacture aviation tires in North America.
Subscribe for unlimited access. A subscription to European Rubber Journal includes:
Already a subscriber? Log in here
