Citing economic conditions and the negative effects of U.S. sanctions on Venezuela, Goodyear’s Venezuelan subsidiary, CA Goodyear de Venezuela, is ceasing production at its 62-year-old factory in Valencia.
“Goodyear-Venezuela has made the difficult decision to stop producing tires,” the Ohio-based company said in a statement. “Our goal had been to maintain its operations, but economic conditions and U.S. sanctions have made this impossible.”
Immediately after Goodyear announced its closure, Venezuela’s government said it would reactivate the company’s assembly line in an attempt to preserve some of the 1160 jobs that will be lost.
However, Goodyear workers aren’t holding their breath. The government has made similar pledges following other plant closures in the past only to see its efforts fall short.