Sumitomo Rubber USA’s century-old tire plant in the Town of Tonawanda announced on November 7, 2024 that it will close, delivering a significant economic blow to the Buffalo-area manufacturing community. The shutdown affects roughly 1,500 to 1,550 employees and marks the end of a long chapter for the Sheridan Drive facility, which produced tires for automobiles, motorcycles, and trucks.
The company said it is halting operations immediately, citing rising material and logistics costs, aging infrastructure, and an increasingly difficult market environment that cost-cutting measures and past investments were unable to overcome. Although production stopped at once, the company indicated that wind-down activities and site shutdown procedures could extend for many months.
Impact
Sumitomo Rubber reported a total of about 1,550 job losses, including both hourly and salaried staff. Many of those affected were represented by United Steelworkers Local 135. Dave Wasiura, the union director, described the company’s abrupt decision as a betrayal of a skilled and dedicated workforce, noting that management did not negotiate with the union before announcing the closure.
In its statement, Sumitomo Rubber stressed that the company implemented cost-control measures, efficiency enhancements, capital investments, and other improvements over recent years but that these changes failed to offset mounting financial losses at the Tonawanda facility.
Next steps for employees
Following the layoffs, Sumitomo reached an agreement with union representatives to provide separation benefits that include pay based on years of service, extended health coverage, and access to career transition services. The company also offered support for job placement efforts as part of the separation package.
Local and state officials, along with community organizations, quickly mobilized to help displaced workers. The New York State Department of Labor organized job fairs in Tonawanda to connect former employees with hiring companies and to expedite the transition to new employment opportunities. These efforts aimed to provide immediate assistance while longer-term workforce solutions are arranged.
A new life for the facility
The fate of the sprawling 2-million-square-foot facility became a priority for regional leaders and economic development partners. Erie County officials formed a task force to seek buyers and develop redevelopment strategies that preserve industrial activity while attracting new, diversified uses for the site.
In a promising development, Taiwan-based Hwa Fong Rubber announced plans to acquire the former Sumitomo site and convert it into a multi-tenant industrial park. The planned redevelopment is expected to create between 100 and 250 jobs by early 2026, with potential for additional job growth over time as new tenants move in and operations expand.
As Tonawanda adapts to this major transition, the plant closure highlights broader challenges facing legacy manufacturing across the United States—rising costs, aging facilities, and stiff market pressures—while also underscoring the resilience of workers, unions, and local leaders committed to rebuilding the local economy and attracting new investment.