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August 17, 2004 12:00 AM

Goodyear closes Guatemala tyre plant

ERJ Staff
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    AKRON (Aug. 16)--Goodyear closed its Gran Industria de Neumaticos Centroamericana S.A. tyre plant in Guatemala City, Guatemala, in March, citing reduced demand for the factory's products, primarily cross-ply tyres.

    Goodyear did not disclose the closing outside of Guatemala until now.

    Ginsa, as the unit was known locally, had been in operation since 1965. At last report, it employed 50 in the production of cross-ply passenger, light and medium truck and agricultural tyres. Capacity was listed as 3500 units per day.

    Goodyear said the affected employees "received total payment of benefits required by contract and by law," but it did not disclose specifics of the settlement or any costs related to the shutdown.

    Goodyear said it plans to sell the property and would use any equipment still deemed usable in other plants

    In recent years Goodyear was involved in ongoing labour disputes with the work force there, but a company spokesman said the labour disputes had no effect on the tyre maker's decision.


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