US car tyre maker Goodyear Tire & Rubber Co. plans to close its production facility in Kariega (South Africa) by the end of this year, the company said in a statement.
This will result in the reduction of 900 jobs.
The facility is part of the EMEA business unit.
Goodyear expects the total cost of the closure to be $100-110 million, including employee benefits and asset write-downs.
Goodyear’s share prices fell by 2.6% at the end of trading on Thursday. Since the beginning of this year, the company’s capitalisation has grown by almost 20% (to $3.2 billion), while the Nasdaq Composite stock index has remained virtually unchanged.