TALLINN - Stoneridge, the producer of automotive electronics gear, is reportedly preparing to shut down or cut back some of its older factories and transfer production to Estonia and China.
The BBC reported that Stoneridge is planning to close its factory in Sarasota, Florida and roll back production in England, after which it will transfer production to China and Estonia. The process should be completed by the end of 2008, according to reports.
Per Lindberg, CEO of AS Stoneridge Electronics, the Estonian subsidiary of the group, refused to comment the report.
Two hundred people will lose their jobs due to the closure of the England factory, according to the Baltic News Service.
In its previous financial report, Stoneridge Electronics AS stated that in 2006 several production lines were transferred from the company's factory in Orebo to Tallinn.
One of the production lines transferred was the digital tachograph data reader line, a product which enjoyed considerable success, according to the company.
The company's clients include automotive giants such as General Motors and Daimler Chrysler.
The financial report also stated that sales totaled 448 million kroons (28.6 million euros), with 15 percent growth against the previous year. The company earned a net profit of nearly 46 million kroons, up 36 percent year-on-year.
Stoneridge, which employs 6,000 people worldwide, opened its representative office in Shanghai in 2004. The company's 2006 sales totaled $708 million, according to its Web site.