Automotive component maker Toyoda Gosei today announced that it will close its UK operations, putting nearly 500 jobs at its UK factories at risk.
Toyoda Gosei UK operates two factories, one in Swansea and another in Rotherham, which produce parts for Honda, Nissan and Toyota, among other car makers. The company said it is closing its UK manufacturing facilities due to “a significant reduction in key UK customer demand”.
A total of 458 people - 251 based out of the Rotherham plant, and another 207 at Swansea - are employed at these sites. This is down from a workforce of 800 employed by Toyoda Gosei in 2015.
“We understand and regret the uncertainty that this will cause for everyone at the Swansea and Rotherham sites,” said Toyoda Gosei UK boss Shigenori Matsuo, “and are doing all we can to support our employees throughout the consultation process.”
In a statement, the company said it “has informed its employees of a proposal to close the business in the UK. TGUK will now enter a formal period of consultation with its employees regarding the proposed changes.”
It added that it “does not foresee growth of its business” in the UK.
Toyota Gosei is the latest in a line of global automotive firms to scale back UK operations. Earlier this year, GKN Automotive announced plans to close its Birmingham factory, which assembles driveshafts, with a fallout of 519 jobs.
The closure of Ford’s Bridgend plant took with it a further 1700 automotive roles when it closed in September 2020, and it remains unclear whether the new owners of Honda’s Swindon factory will seek to retain the workforce already on site.