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More jobs to go in car industry

More than 200 jobs are to go after a firm that makes car components announced it was closing its factory in the Black Country.

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International electronics company Omron is shutting its UK base at the Pensnett Trading Estate in Kingswinford.

The firm, which has sites in the US, Canada and Europe, is phasing out the Kingswinford operation by the end of the financial year in 2010, meaning 240 staff could be made redundant by March 2011.

The company is also closing its Minakuchi factory in Japan as part of emergency cost-cutting measures.

Bosses say they are closing the Kingswinford plant, which supplies products such as power window switches and keyless entry technology to the motor trade, because of the slump in the car industry. Omron says it "does not anticipate recovery in the foreseeable future". Finance manager Neil Wood said: "We are currently in consultation with our employees. All our 240 staff are at risk of redundancy.

"Obviously this is not a situation that anybody particularly wants. The company does not want this but it has got to react to customer demand, and this is simply a response to the downturn in demand for new cars."

Mr Wood said the factory would remain open until 2011 to enable a "smooth hand-over" of production to Omron's other plants across the globe.

"We supply to major motor manufacturers and we are not terminating that supply, just transferring it to our other facilities around the world." Omron employs around 36,000 staff worldwide, the majority working in its electronic components wing. However the firm also provides medical equipment to healthcare providers.

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