Failed bet on US expansion forces Akebono Brake to shutter plants

Facing crippling losses, supplier trims loss-making sites and offloads stocks

Akebono Brake Industry looks to shrink its North American operations due to a checkered history in obtaining orders from General Motors. © Reuters

RYO ASAYAMA, Nikkei staff writer

April 6, 2019 02:09 JST

TOKYO -- Japan's Akebono Brake Industry will consider shutting as many as three plants in the U.S. and Europe as part of a plan to recover from soured North American operations.

The brake supplier, which owns 18 plants globally, will shrink capacity at a number of money-losing production sites in the two regions. Factory closures are also on the table. Staff at the affected plants will be cut or reassigned.