Sumitomo Rubber Industries extends closure date of Tonawanda tire factory

Tonawanda, NY — Sumitomo Rubber Industries Ltd. (SRI) has announced amendments to the closure plans for its 102-year-old tire manufacturing plant in Tonawanda, New York. The company has extended the closing date to May 15, 2025, and increased the number of employees affected to 1,397, up from the previously announced 1,380.

The decision to close the plant, originally scheduled for February 15, 2025, was driven by the facility’s inability to operate profitably. SRI cited several factors contributing to this decision, including rising material and logistics costs, outdated infrastructure, inconsistent financial performance, and evolving market conditions.

The Tonawanda plant, which has been operational since 1923, has faced significant financial challenges in recent years. Despite a $130 million investment in 2022 aimed at upgrading and expanding the facility, the plant has incurred combined operating losses exceeding $325 million over the past three years. The closure is part of SRI’s broader strategy to ensure the long-term sustainability of the Sumitomo Rubber Group in the competitive international tire market.

The United Steelworkers (USW) union, representing the 1,200 hourly workers at the plant, has been actively involved in discussions with SRI regarding the closure. The company is working with union representatives to negotiate equitable severance packages and provide job placement support services for the affected employees.

Sumitomo Rubber Industries has operated the Tonawanda factory since 2015, following the dissolution of its business alliance with Goodyear. The plant was originally opened by Dunlop Tyre Ltd. and has a long history of tire production.

As the closure date approaches, SRI remains committed to supporting its former employees and ensuring a smooth transition. The company is also in the process of communicating with customers and suppliers to address any potential concerns related to existing orders and delivery schedules.

This closure marks a significant moment in the history of the Tonawanda plant, reflecting the broader challenges faced by the tire manufacturing industry in adapting to changing economic and market conditions.