TRELLEBORG, Sweden (Nov. 28) — Trelleborg A.B. plans to shut down its industrial tire plant in Hartville, Ohio, within the next three years and consolidate production at factories in Sri Lanka.
The phasing out of production at the 69-year-old facility will be completed by the first quarter of 2009, and will affect 115 production workers, Trelleborg said.
Trelleborg said it will invest $19 million in ending and transferring production from former Monarch Industrial Tire Co. factory, which it purchased 15 years ago. Trelleborg Wheel Systems S.p.A. President Maurizio Vischi said the change will improve the firm´s profitability and position in the North American market, where we are also building an efficient sales and distribution organization."
The change is expected to save the firm $5 million annually.
Trelleborg said it will continue to have resources in sales, technical service and distribution in North America.
Trelleborg Wheel Systems, a business unit of diversified Trelleborg A.B., operates tire plants in Kelaniya and Biyagama, Sri Lanka, with approximately 900 employees.