ArvinMeritor consolidates its operations

ArvinMeritor Inc announced it's consolidating its three North American ride control facilities into one, including the closure of its Toronto, Ontario, original equipment shock absorber operation, and its Chickasha OK packaging and distribution center. The 700-person closure is part of a previously announced restructuring plan affecting 2,800 employees from 13 North American and European plants.

“The company must operate from a global manufacturing footprint that optimizes capacity and reduces costs, while creating the highest levels of service and value for our customers,” said Ed Frutig, vice-president and general manager, Chassis Systems.

Most of the shock absorber production will be transferred from Toronto to Queretaro, Mexico, by June 2008, with an anticipated closure by June 2009. The Chickasha site will move its packaging and distribution business to a United States-based third-party logistics company by April 2008.

ArvinMeritor will offer severance and benefits packages to affected employees.

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