Skip to main content
Sister Publication Links
  • European Rubber Journal
  • Plastics News
  • Tire Business
Subscribe
  • Login
  • Register
  • Subscribe
  • News
    • Best Places to Work
    • Rubber Division IEC
    • War in Ukraine
    • Automotive
    • Tire
    • Non-Tire
    • Suppliers
    • ITEC
    • Silicone
    • Online Exclusive
    • Latex
    • Technical Notebooks
    • Executive Action
    • Government/Legal
    • Opinion
    • Blogs
    • Sustainability
    • Products
    • Wacky World of Rubber
  • Airless Tires
  • Custom
    • Sponsored Content
    • White Papers
  • Resources
    • Directory
    • Classifieds & Mold Mart
  • Data
  • Events
    • RN Events
    • RN Livestreams/Webinars
    • Industry Events
    • Past Events
    • Rubber News M&A Live
    • Ask the Expert
    • Healthcare Elastomers Conference
    • Rubber In Automotive Conference
    • Women Breaking the Mold Networking Forum
  • Advertise
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. News
December 10, 2018 01:00 AM

Goodyear closing Venezuelan tire factory

Tire Business Report
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    AKRON—Goodyear's Venezuelan subsidiary, CA Goodyear de Venezuela, is ceasing production at its 62-year-old factory in Valencia, citing economic conditions and the negative effects of U.S. sanctions on Venezuela.

    Goodyear "deconsolidated" this company in 2016, stating at that time that "evolving conditions" in Venezuela—including currency exchange control regulations and continued reductions in access to U.S. dollars—had restricted the company's ability to pay dividends and royalties and to settle liabilities.

    Bridgestone Corp. and Pirelli & C. S.p.A. made similar moves at about the same time.

    Goodyear said the firm's goal "had been to maintain its operations, but economic conditions and U.S. sanctions have made this impossible."

    The company thanked the Goodyear-Venezuela employees for their contributions and commitment "under very difficult conditions."

    Goodyear did not disclose what, if any, severance settlement it might have reached with workers there.

    At last report, Goodyear employed 750 at the Valencia plant, which was rated at 12,000 car, light and medium truck tires a day.

    Venezuela accounted for one-third of Goodyear's Latin American revenue and contributed $119 million in segment operating income as recently as fiscal 2015.

    Pirelli earlier this year ceased operations at its plant in Guacara and divested the unit's assets in September.

    Pirelli did not identify the investors nor disclose any financial information, but did say the disposal would have no financial effects on the group. The agreement calls for employment continuity at the 28-year-old factory.

    Bridgestone divested its business unit in Venezuela—Bridgestone Firestone Venezolana C.A. (BFVZ) in 2016—to the Corimon Group, a Venezuelan capital investment enterprise.

    Bridgestone Firestone Venezolana operated one tire plant, in Valencia, that opened in 1955 and produced passenger, light and medium truck tires, with nearly 1,300 employees.

    Letter
    to the
    Editor

    Rubber News wants to hear from its readers. If you want to express your opinion on a story or issue, email your letter to Editor Bruce Meyer at [email protected].

    Most Popular
    1
    What to expect in ‘rapidly changing' auto industry
    2
    VDMA: EU's PFAS ban 'overshooting the mark'
    3
    Wanli Tire considering Cambodia for overseas tire plant
    4
    R.D. Abbott taps Swanton to lead NovationSi process engineering
    5
    A journey of faith, science and humanity: Chris Macosko wins 2023 Charles Goodyear Medal
    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Get our newsletters

    Staying current is easy with Rubber News delivered straight to your inbox, free of charge.

    Subscribe Today

    Subscribe to Rubber News to get the best coverage and leading insights in the industry.

    SUBSCRIBE
    Connect with Us
    • LinkedIn
    • Facebook
    • Twitter

    MISSION

    To serve companies in the global rubber product industry by delivering news, industry insights, opinions and technical information.

    Contact Us

    2291 Riverfront Pkwy, Suite 1000
    Cuyahoga Falls,
    OH 44221

    Customer Service:
    877-320-1726

    Resources
    • About Us
    • Digital Edition
    • Staff
    • Advertise
    • Order Reprints
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Careers
    • Ad Choices Ad Choices
    • Sitemap
    Partner Sites
    • Tire Business
    • European Rubber Journal
    • Plastics News
    • Urethanes Technology
    • Automotive News
    • Crain Brands
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • News
      • Best Places to Work
      • Rubber Division IEC
      • War in Ukraine
      • Automotive
      • Tire
      • Non-Tire
      • Suppliers
      • ITEC
      • Silicone
      • Online Exclusive
      • Latex
      • Technical Notebooks
      • Executive Action
      • Government/Legal
      • Opinion
      • Blogs
        • Products
        • Wacky World of Rubber
      • Sustainability
    • Airless Tires
    • Custom
      • Sponsored Content
      • White Papers
    • Resources
      • Directory
      • Classifieds & Mold Mart
    • Data
    • Events
      • RN Events
        • Healthcare Elastomers Conference
        • Rubber In Automotive Conference
        • Women Breaking the Mold Networking Forum
      • RN Livestreams/Webinars
      • Industry Events
      • Past Events
      • Rubber News M&A Live
      • Ask the Expert
    • Advertise
    • DIGITAL EDITION