Major Blow to UK Manufacturing as 350 Jobs Face the Axe
A significant blow has been dealt to the UK's automotive supply chain, with the announcement that two major car parts factories are set to close. Japanese manufacturer NSK has revealed plans to shut down its sites, putting approximately 350 jobs at immediate risk.
Profitability Challenges Force Drastic Measures
The Tokyo-based company cited persistent challenges with the profitability of its locally manufactured products as the primary reason for the proposed closures. NSK has stated it will now enter into a consultation process with union representatives over the plans to cease production at its facilities located in Peterlee, County Durham.
These factories are crucial components of the automotive supply chain, producing bearings used by major carmakers such as Volkswagen and Renault. If the proposals proceed, the factories are expected to cease operations by March 2027.
Union Outcry and Vows to Fight Closure
The announcement has been met with fierce opposition from the union Unite. General secretary Sharon Graham condemned the move, labelling it a "complete betrayal" of a workforce that had worked hard to meet performance targets.
Steve Bush, Unite's National Officer, emphasised the long-term viability of the plants, stating: "Bearings will still be needed for cars long after diesel and petrol engines have been phased out. NSK doesn’t need to close these factories and Unite will be forcefully making that point during consultations." The union has pledged to fight "tooth and nail" to keep the sites open, asserting that a viable business case exists for their future.
Support Pledged for Affected Workforce
In its statement, NSK committed to implementing "all necessary measures to support all circa 350 employees who may be affected" by the potential closures. The coming consultation period will be critical in determining the final outcome for the workers and the future of car parts manufacturing at these key UK locations.
