VERSAILLES, Ky.—Yokohama Industries Americas Inc. is set to close its Versailles automotive hose plant, resulting in the loss of 250 jobs. The move closes the book on 30 years of automotive hose assembly production at the facility.
The closure is the direct result of market pressures—particularly slipping demand for its products as well as increased materials costs—and the decision to consolidate its operations at its Easley, S.C., and Painesville, Ohio, facilities, according to Worker Adjustment and Retraining Notification filed by Yokohama.
Operations will cease by May 30. Yokohama said the jobs to be cut are in manufacturing and manufacturing support, with corporate functions to be maintained at the facility at this time.
"The decision to end manufacturing operations and, as a result, to eliminate several positions, was not an easy one to make, but it comes after careful analysis of YIA's position and a realistic assessment of the challenges it faces in the marketplace," Brian Franklin, senior vice president of business development and administration, wrote in the WARN letter regarding the plant's closure.
In a news release about the closure, YIA noted that the plant closure will allow it to "maintain competitive pricing" for its products. The company said it will work with customers to ensure a seamless supply chain transition.
