28 February 2013 16:04 [Source: ICIS news]
HOUSTON (ICIS)--US auto parts maker Federal Mogul said late Wednesday that it will close three factories in Europe and move production to lower-cost locations in Latin America, Eastern Europe and China.
The Southfield, Mich., maker of gaskets, seals and other OEM and after-market auto parts noted that European auto sales sunk to 19-year lows in 2012. Sales remain sluggish in Europe through the first two months of this year, Federal Mogul co-CEO Rainer Jueckstock said, but “our European customers have signalled a market recovery in the second half of 2013".
Federal Mogul on Wednesday reported a Q4 loss of $80m (€61m), down from a loss of $239m a year ago.
The American Chemistry Council (ACC) estimates that each automobile contains an average of $3,297 worth of chemicals such as acrylonitrile-butadiene-styrene (ABS), nylon, polycarbonate (PC) and others.
($1 = €0.76)
Reporting by Mark Yost
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