Kiyosu, Japan – Toyoda Gosei has started a formal period of consultation with its employees in the UK regarding a proposed plan to close its operations in the country.
The move is in response to continued changes in the global automotive sector, and a significant reduction in key UK customer demand, announced the automotive components manufacturer in a 28 April statement.
Toyoda Gosei, which supplies parts to Nissan, Renault and Honda, said it does not foresee growth of its business in the UK due the said changes.
Headquartered in Rotherham, England, Toyoda Gosei UK Ltd (TGUK) has two production facilities in Rotherham and Swansea, Wales, and employs 458 people.
Owned 91.09% by Toyoda Gosei and 8.91% by Toyota Tsusho Corp. the company manufactures weatherstrips in Rotherham and automotive interiors & exteriors in Swansea.
Toyoda Gosei said the decision to close the UK business was part of a reorganisation scheme within its European operations to achieve “sustainable growth into the future.”
In December 2019, Toyoda Gosei sold its German weatherstrips production subsidiary Toyoda Gosei Meteor (TGM) to AEQPH GmbH and transferred parts of production to its main European manufacturing site, Toyoda Gosei Czech, sro (TGCZ).
In its latest statement, the Japanese group said it will continue to improve productivity and strengthen TGCZ to play “a central role” within its European operations.