Heaptalk, Jakarta — Bridgestone Corporation, a Japanese tire manufacturer, plans to close its factory in Lanklaar, Belgium, in the first half of 2025 due to profitability issues.
According to multiple sources, the factory closure in Belgium is part of Bridgestone’s efforts to restructure its European operations, which face profitability problems. The company has informed 111 employees of its subsidiary, Bandag Europe NV, about the planned closure.
“Bridgestone plans to provide the necessary support to them after the official decision to close the factory is made,” said Bandag Europe as reported reported by the Nippon, quoted on Monday (01/27).
Meanwhile, Belgian media outlet VRT NWS reported that the bus and truck tire manufacturer is closing the factory due to high production costs and declining sales.
Company management claims that demand for bus and truck tire parts has decreased by more than a third in Europe, primarily due to cheaper imports from East Asia. Bandag Europe NV stated, “This has resulted in significant overcapacity and increased production costs that are uncompetitive, further heightened by high energy prices and inflation.”
“The company is now initiating an information and consultation procedure with the intention of closing its factory in Lanklaar around the first half of 2025,” the company concluded.