Meritor joint venture to close Ontario facility
MILTON, Ont., — Meritor Suspension Systems Company — a joint venture between ArvinMeritor and Mitsubishi Steel Manufacturing — will close its coil spring operations plant in Milton.
The company met with Canadian Auto Workers Local 1067 to discuss the closure plans, which will impact all 165 employees.
The company is currently evaluating the transfer of this business to other facilities in North America. MSSC has another Canadian facility in Chatham.
ArvinMeritor, which owns about 57 percent of the joint venture, also recently announced plans to close a brake plant in Tilbury, Ont., citing worsening economic conditions.
“We are experiencing unprecedented economic pressure within the global automotive industry,” said Gerald Anderson, president and general manager, MSSC. “This closure reflects actions we are taking to reduce fixed costs in response to significantly lower vehicle production volumes.”
The phased closure will be completed by the end of 2009.
The MSSC ? joint venture, formed in 1986, produces steel torsion and stabilizer bars and coil springs for the North American passenger car and light truck markets.
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