Goodyear to shut down its Shah Alam factory end-June – closure to affect 550 positions in Malaysia

Goodyear to shut down its Shah Alam factory end-June – closure to affect 550 positions in Malaysia

In November last year, the Goodyear Tire & Rubber Company revealed its “Goodyear Forward” transformation plan, in which one of the key initiatives outlined was cost reduction actions the tyre maker would take to ensure it remained competitive heading into the future.

As part of that cost optimisation and streamlining of its operations, the company has announced that it is set to shut down its manufacturing plant in Malaysia, effective June 30, 2024, with the closure of the facility expected to be completed by the end of this year. The plant closure will affect 550 positions associated with the factory.

While sales and marketing of its products are set to continue in the country, it’s a sad end to the Shah Alam facility, which opened in 1972 and was one of the earliest factories built in the area. During its lifetime, the factory had the honour of supplying GT 70 tyres for Malaysia’s first national car, the Proton Saga, in 1985, and of being the first Goodyear factory in the world to receive ISO 9002 certification in 1992.

Elsewhere, the loss of local supply from the Goodyear route means that the likes of Perodua may have to get tyres from Toyo or Continental, the only companies with left with local production.

Goodyear to shut down its Shah Alam factory end-June – closure to affect 550 positions in Malaysia

The closure was announced by the company via an internal statement issued to its associates by Goodyear’s Asia Pacific president, Nathaniel Madarang, as indicated below:

    “As you know, Goodyear Forward is a transformation program designed to optimise our footprint and portfolio, deliver significant margin expansion and create shareholder value. This program includes specific actions to deliver annualised cost reductions of USD1.0 billion by 2025, ensuring we remain competitive and positioned as an industry leader.

    As part of these efforts, Goodyear has made the difficult but necessary decision to close our manufacturing plant in Shah Alam, Malaysia, effective June 30, 2024, with closure expected to be complete by the end of the year.

    As with any facility closure, there will be an associate impact, and in this case, approximately 550 positions in our Malaysia operations will be affected. We are committed to treating our associates with respect and transparency during this process.

    These decisions are not made lightly, but we need to take them to advance the long-term interests of both our business and customers. Thank you for your continued focus on delivering results and for all you do to make Goodyear successful.”

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • Manifesto Dicapati on Mar 07, 2024 at 11:22 am

    Tahniah PH! Anwar senang rakyat hilang keje!

    Like or Dislike: Thumb up 34 Thumb down 28
    • Minority thats always play victim on Mar 07, 2024 at 1:31 pm

      Inilah kerajaan yg dipuja puja oleh pentaksub PHancing selama ini

      Like or Dislike: Thumb up 22 Thumb down 7
    • MB Sanusi on Mar 07, 2024 at 4:21 pm

      Hutang gaji player Kedah. Salah aku jugak, kikiki

      Like or Dislike: Thumb up 6 Thumb down 3
    • Lazy people can’t survive elsewhere?

      Like or Dislike: Thumb up 4 Thumb down 4
    • Hhussain on Mar 08, 2024 at 8:47 am

      Masalah 3tahun sudah..bukan skrang punca
      Jadilah rakyat Malaysia smart ilmu tak ada jgn comment..absurdity

      Like or Dislike: Thumb up 5 Thumb down 1
  • Inevitable at this stage. Malaysia does not have ample rubber supply anymore. Coupled that with comparatively costly yet low-productivity workforce and an auto industry that’s been left behind by Thailand and Indonesia, it doesn’t give the tyre makers any competitive advantage to continue production here. They would do better in the aforementioned countries notwithstanding the infra challenge.

    Like or Dislike: Thumb up 27 Thumb down 4
    • Janji dicapati on Mar 07, 2024 at 1:27 pm

      Refer my name

      Like or Dislike: Thumb up 10 Thumb down 2
    • YB Kinte Kunta on Mar 07, 2024 at 2:03 pm

      2023, I bought 4 China tyres, made in Thailand.
      Fortune brand..Myvi size..RM135 per tyre.
      Already over a year..still got plenty of bunga left.
      The same size tyre from Toyo or Goodyear will set u back Rm220 per tyre.
      Of course,they advise just drive normally,dont go 160km/hr.
      Can u see the Rm85 x4 =340,price difference for full set of tyres,coupled with free alignment?
      NOw,u go any tyre shop…u r bound to see China tyres.
      Of course,choose the more reputable China brands.

      Like or Dislike: Thumb up 6 Thumb down 9
      • Betul bang tayar china byk yg murah giler skrg .. cuma hati² time hujan.. byk kali aku main drift tang kona.. padahal bunga tebal lg

        Masa mula² dpt kereta, time tu sime tyres skrg pun dh x de, 160 pun selamba aku belasah dlm hujan…. Skrg dh x berani wlpun x guna tayar china… Trauma siottt

        Like or Dislike: Thumb up 6 Thumb down 1
        • policeman on Mar 07, 2024 at 7:30 pm

          Seb baek skil hang mantul. Omputeh kate Cheap thing no gud. Good things no cheap

          Like or Dislike: Thumb up 5 Thumb down 1
      • choose life on Mar 08, 2024 at 7:11 am

        I would never trust tires from China with my life or anyone’s life. A lot of them copy the treads of mainstream brands but they do not use good rubber quality

        Like or Dislike: Thumb up 2 Thumb down 0
    • Plz try our best! on Mar 08, 2024 at 12:00 am

      Frankly speaking, the gment must do watever can to retain them. Wats the point if getting new investor come while old 1 left. This is no increase , only back to sq 1. Must go and find out their problem & come out a solution to retain them. Once gone, it would be hard to court them back. This is a big corporation, not small sme. Plz be serious.

      Like or Dislike: Thumb up 2 Thumb down 1
  • Good pre-emptive action before some clowns claim they supply rubber to Merkava and rally for boycott.

    Like or Dislike: Thumb up 4 Thumb down 7
    • Casual reader on Mar 07, 2024 at 8:52 pm

      Stupids here dunno that car tyres are not used for tanks. Talking out of his ass hole again.

      Like or Dislike: Thumb up 0 Thumb down 0
  • Jawyu on Mar 07, 2024 at 12:57 pm

    Why produce tyres when selling solar energy to tnb makes much better margin? With closure almost all energy produce will be sold to Tnb.

    Like or Dislike: Thumb up 1 Thumb down 0
  • ThePolygon on Mar 07, 2024 at 1:06 pm

    Operating under min salary? Now that it has increased… it seems other locations offer cheaper labor.

    Like or Dislike: Thumb up 2 Thumb down 0
  • t333son on Mar 07, 2024 at 1:18 pm

    If we don’t improve the workers’ attitude , mentality and efficiency, big businesses with Simply lift and go elsewhere eg Thailand, Indonesia, Vietnam

    Have to fix this MC sick leave culture, lepak culture and the entitled culture

    Like or Dislike: Thumb up 13 Thumb down 5
    • we are high class nation with high class penduduk that do high class jobs, factory jobs are for lowly Singapore labors, we import them to work for us we syok syok sit and earn money

      Like or Dislike: Thumb up 7 Thumb down 0
    • Tak Layu on Mar 07, 2024 at 7:06 pm

      Betul kata kamu, kita mesti baiki attitude kerja kami. Rilek la bro. Slow slow kita boleh catch up punya. Minum teh tarik dulu bro. Perlahan lahan inshallah kita pasti sukses. Tapi kita minum teh tarik dulu. Lol

      Like or Dislike: Thumb up 4 Thumb down 3
    • YB Kinte Kunta on Mar 07, 2024 at 9:08 pm

      MR T333
      U r damn right.
      But what is needed..now.Focus on our jobs..our employers have financial targets to meet.
      Look at Goodyear…oh my..they r not competitive anymore..they bleed financially,so they have to close shop here,together with 550 fearful employees.
      There is a season for everything.
      A time to celebrate.
      A time to work smart as we receive out monthly pay cheq,as our employers meet their targets.
      MACC should go undercover to nab those clinics dishing out “questionable’ mcs.
      Those who dish out and buy non deserving MCs should be jailed.

      Like or Dislike: Thumb up 0 Thumb down 0
      • seitha on Mar 08, 2024 at 5:28 pm

        .they bleed financially,

        Whats the cause of them bleeding financally?

        Like or Dislike: Thumb up 0 Thumb down 0
  • Ben Yap on Mar 07, 2024 at 1:31 pm

    this year, for Goodyear it is a bad year.

    Like or Dislike: Thumb up 2 Thumb down 1
  • sonyman on Mar 07, 2024 at 1:36 pm

    What will happen to the land? Such a big piece in such a prime area? Probably a business center? Probably a warehouse? Just like what ansell land became a commercial building.

    Progress into new economy structure.

    Eh maybe a new 6 star hotel…. maybe just maybe.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Kapcai on Mar 07, 2024 at 2:41 pm

    Cannot compete with china made tyres

    Like or Dislike: Thumb up 1 Thumb down 1
  • v-tec fan on Mar 07, 2024 at 2:48 pm

    Sad

    Like or Dislike: Thumb up 0 Thumb down 0
  • Phuddi sung lee on Mar 07, 2024 at 2:55 pm

    Neighbours getting more and more FDI and we r loosing more and more Bez of incompetence of govt, keep in mind worse recession is on the way to USA and ultimately hit every one ,mana back up,
    Dewan rekayat is like fish mkt cursing and shouting and these pple r so call policy makers ,who themselves r not even educated

    Like or Dislike: Thumb up 14 Thumb down 2
  • those were the good years… goodbye Goodyear..

    Like or Dislike: Thumb up 4 Thumb down 0
  • hazri on Mar 07, 2024 at 11:44 pm

    i read from somewhere in fb group car, somebody i dont remember the name, but he has phd in tyre whatever research (legit), also got website, said, used premium tyre like michelin is better than new china tyre. a tyre can be used up to maximum 10 years from manufacture date if still have bunga (of course not recommended). my experience with used michelin tyre is better than new goodyear tyre. cant imagine with china tyre.

    Like or Dislike: Thumb up 0 Thumb down 1
  • Hhussain on Mar 08, 2024 at 8:49 am

    Masalah 3tahun sudah..bukan skrang punca
    Jadilah rakyat Malaysia smart ilmu tak ada jgn comment..absurdity

    Like or Dislike: Thumb up 2 Thumb down 0
  • KhChua on Mar 08, 2024 at 3:16 pm

    Best is a China company from China come and take up this Goodyear to Bestyear

    Like or Dislike: Thumb up 1 Thumb down 0
  • Dunno what 7 u say on Mar 08, 2024 at 4:15 pm

    Eh…skrg top issue is bak kut teh laa

    Like or Dislike: Thumb up 1 Thumb down 0
 

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