Navistar to Close Chatham Truck Plant
International Truck and Engine Corp. said Friday that it plans to close its Navistar heavy-duty truck plant in Chatham, Ontario on July 18.The company informed employees of the move Friday, emphasizing that the plant closure was “a necessary step to address competitive market conditions.”
Production of the company’s 9000i Series Class 8 at the plant will be shifted to Navistar’s facility in Escobedo, Mexico, the company said.
The company said in December 2001 that in order to keep the plant open, additional cost reductions were needed.
The strike was resolved after a six-week walkout. As part of the settlement, the company promised workers that it would not close the plant before June 1, 2003.
Only three months later, the company announced plans to shut the Chatham facility for good at an unspecified date in the summer of 2003 (Click here for related coverage.).
"We understand that this is not an easy time for anyone affected by this announcement," said Steve Keate, president of the company's truck group. "Even though we've been talking about this with employees for months, we realize that announcing a date signals the finality of closure.”
The Chatham plant is currently only operating one production shift, using 900 workers. The company said it has another 1,300 union employees on layoff status.
Sean McNally
I>Staff Reporter
( for the full press release.)