South Africa Loses 900 Jobs as Goodyear Shuts Factory After 78 Years

South Africa Loses 900 Jobs as Goodyear Shuts Factory After 78 Years

South Africa is reeling from a heavy industrial loss after global tire manufacturer Goodyear announced it would shut down its local factory in Nelson Mandela Bay. The news has left hundreds of families shaken and an entire community uncertain about the future. For 78 years, the American company played a crucial role in South Africa’s industrial growth — but that legacy is coming to a painful end.

Goodyear, a household name in the global tire industry, revealed that while it will maintain its sales and retail operations in the country, including its Hi-Q retail network, its manufacturing plant will close down. This decision immediately puts about 900 direct jobs at risk and leaves several hundred more in doubt across services such as logistics, catering, maintenance, and security, all of which relied on the factory’s operations.

For many in Nelson Mandela Bay, Goodyear wasn’t just a company. It was the heart of the community.

“We’re not just losing our jobs. We’re losing our second home,” said one worker who has been with the company for over two decades. “This plant gave me everything — a roof over my head, food for my children, and dignity.”

The company said its decision is part of a broader restructuring plan across Europe, the Middle East, and Africa (EMEA). As Goodyear adjusts its business to meet modern market demands, it is cutting back on facilities that no longer align with its global direction.

“The proposal is in no way a reflection of the commendable efforts or the years of dedication of our South Africa team, for which we are grateful,” Goodyear said in a statement. “We recognise our responsibilities towards our employees and their families and are firmly committed to acting fairly and providing them with appropriate support.”

The closure will not be immediate. Goodyear must first go through a formal restructuring process under the guidelines of South Africa’s Labour Relations Act. The Commission for Conciliation, Mediation, and Arbitration (CCMA) will oversee the discussions and proceedings. While this process offers a legal structure, it brings little emotional relief to employees who fear for their futures.

Within the factory walls, the news spread like wildfire. Some workers broke into tears. Others walked out quietly, unsure what to say or where to go. One supervisor who started as a cleaner in the 1980s said the announcement felt like “the death of a dream.”

Goodyear began its journey in South Africa in 1947, making it one of the longest-standing industrial brands in the country. Its tires powered countless vehicles, helped build infrastructure, and supported sports events and road safety initiatives across the country.

But things have changed.

Today, rising global competition, the shift toward electric vehicles, changes in consumer behavior, and the need to cut operational costs have forced many companies to rethink their global footprints. South Africa’s factory — once a shining symbol of partnership between foreign investment and local talent — became a casualty of this transformation.

Economic observers note that South Africa has faced several corporate exits in recent years. While each departure has its reasons, they often reflect deeper concerns about stability, regulation, and long-term business viability. In Goodyear’s case, the company has not tied its decision to politics, but its exit comes at a tense moment.

The country is still debating the Expropriation Act, a controversial law that allows the government to seize land without compensation under specific conditions. Supporters say it’s a way to correct historic injustices from apartheid, but critics believe it scares off foreign investors.

Although Goodyear hasn’t directly blamed the law, the timing has fueled public speculation. “Big companies see this law and start asking questions,” said an economic analyst based in Johannesburg. “Even if it’s not the main reason, it adds uncertainty.”

The government has not released an official response to Goodyear’s decision. But leaders in Nelson Mandela Bay are calling for urgent action. They want retraining programs, job placement support, and financial assistance for small businesses that will now struggle due to the plant’s closure.

“This is not just a Goodyear issue. This is a South African issue,” said a local councillor. “We must step up to protect our people and our economy.”

Some former employees are exploring options such as starting small automotive services or working in retail. However, many admit they lack the capital or training to pivot into new industries. Several are nearing retirement and fear they won’t find work again.

“We need real help — not just promises,” said a single mother who worked night shifts in the quality control unit. “We did our part. Now it’s time for Goodyear and the government to do theirs.”

Goodyear says it remains committed to the South African market and will continue to support local retailers and customers. The company insists its tires will still be sold across the country and that it values the long-standing loyalty of South African consumers.

Still, for those who wore the uniform every day and poured their energy into the factory floor, that reassurance rings hollow.

“I was proud to say I worked at Goodyear,” said a worker who joined the company just after finishing school. “But now, I feel like I’ve been thrown away.”

This isn’t just about business. It’s about people. South Africa now faces the hard task of supporting nearly a thousand workers who’ve lost not just jobs but a sense of purpose, stability, and belonging.