Topy to Close Aluminium Wheel Plant
Japanese wheel manufacturer Topy Corporation recently announced it would close its aluminium wheel production operations in the US state of Kentucky by the end of September. Approximately 250 jobs will be lost as a result of the closure, with some jobs going to other plants, both in the US and Mexico. The company’s steel wheel manufacturing division and the 350 workers it employs at the Frankfort, Kentucky facility will not be affected by this closure.
According to company director Tom Trzazkus, there is no chance for the 250 jobs to remain. He said the closure is an exit strategy for the unprofitable aluminium plant division, and that high manufacturing costs in comparison with competitors, especially those with production facilities in China, was the main cause for the decision to close the division.
Trzazkus added that some of the workers in the aluminium wheel division may be transferred to the steel wheel plant later in the year, however he was unable to provide any further details. Topy’s aluminium division commenced operations in Kentucky in 1989, and manufactured wheels for a number of US and Japanese carmakers.