Apollo Vredestein BV is restructuring operations at its Dutch plant. The move will enable the plant to specialize in the production of high-value tires.
The plant is located in Enschede in the eastern Netherlands.
In a prepared statement, the company said the Enschede plant will produce agricultural tires and high value - niche segment passenger car tires with a short production run.
The move will enable Apollo Vredestein to secure a “sustainable future in the Netherlands” for the plant.
The change will result in the loss of 750 jobs over 24 months.
“Despite large investments made in recent years in modernizing the plant, the factory employees’ dedication and continuous efforts to make the site economically viable, has proved ineffective against the accelerated market transformation and has required a strategic adaption of the site to secure it has a sustainable future in the long run,” said Benoit Rivallant, president of Apollo Vredestein in Europe.
“After a deep analysis of the profitability and sustainability of the products currently produced in the Enschede pPlant, we regrettably could not arrive at a different conclusion. We are aware that our employees and their families will face a great deal of uncertainty as a result of this difficult decision. They are a committed and dedicated workforce throughout the many years and that has strongly influenced our attempt to secure a sustainable future.”
Apollo Vredestein is part of Apollo Tyres Ltd.