Sumitomo Rubber Closes New York Tire Plant, Cuts 1,550 Jobs

Sumitomo Rubber has announced it will close its tire manufacturing plant in western New York, resulting in the elimination of all 1,550 union and salaried jobs.

Sumitomo said it is working with United Steelworkers Union Local 135 to arrange severance packages. I Photo: Sumitomo Rubber

 The Japan-based company said that despite efforts to control costs and invest in the aging facility, it could not offset increasing financial losses, the Associated Press (AP) reported.

“The plant closure is primarily due to overall facility performance within the increasingly competitive international tire market. This difficult decision follows a multi-year analysis of the company’s financial situation and general market conditions,” Sumitomo stated.

The company attempted to save the Tonawanda plant, located near Buffalo, by seeking a buyer, but found no takers.

Sumitomo recently invested $140 million in the facility, including $129 million in 2022, according to Erie County Executive Mark Poloncarz. The plant, which opened in 1923, has been one of the region’s largest manufacturing operations.

Sumitomo took full control of it in 2015 after ending a joint venture with Ohio-based Goodyear Dunlop Tires North America. The sudden closure came as a surprise to local officials and employees.

Sumitomo said it is working with United Steelworkers Union Local 135 to arrange severance packages.