TACOMA, Wash., June 5, 2020 /PRNewswire/ — Toray Composite Materials America, Inc. (CMA) is announcing a realignment of US operations and a corresponding reduction in headcount to better position for an extended downturn in its commercial business streams.
CMA will immediately suspend operations in its Spartanburg, SC plant and significantly reduce capacity in its Tacoma, WA prepreg facility. These actions will result in a reduction of roughly 25% of the workforce across CMAs facilities in the United States.
«Decisions that directly impact our associates and their livelihood are never ones that we take casually,» said Dennis Frett – President and CEO. «But, these actions are absolutely necessary to reduce our costs and position the company for the future,» said Frett.
Due to COVID-19 and the corresponding collapse of global air travel, demand for passenger aircraft has been significantly reduced. Furthermore, global macro-economic conditions are reducing the demand for industrial products. «Considering industry analysts and recent actions by other aerospace companies, we see a three-to-five-year timeline until we return to a sales volume that resembles anything pre-pandemic,» says Timothy Kirk – Vice President of Aerospace Sales.
These urgent actions will enable CMA to reduce its costs to partially mitigate the immediate downturn in business. Additionally, CMA will enhance its cooperation with business units in the United States to better meet customer expectations and adapt to a changing market.
For more information on CMA, visit www.toraycma.com.
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SOURCE Toray Composite Materials America, Inc.