TILBURY, Ont. — ArvinMeritor is telling the union representing workers at its Tilbury, Ont. braking facility that the company has no choice but to shutter the plant unless the union agrees to new contract concessions.

The heavy-duty component systems supplier says weak economic conditions and excess capacity require it to make cuts in order to keep the plant operational beyond June 4, 2009.

The plant, which employs about 250 people, was also a major supplier to the Sterling Truck facility in St. Thomas.

Daimler Trucks North America recently announced it is eliminating the Sterling brand and as a result, the St. Thomas assembly plant will be closed March 2009.

ArvinMeritor, which also operates a Chatham plant, said in a statement that it hopes to hammer out a new collective agreement with the Canadian Auto Workers Local 1941 as soon as possible.

In the meantime, ArvinMeritor says it is providing six months advance notice of the possible closure.

The company stresses that it plans to close the facility only if a new deal with the CAW can’t be reached. It did not provide any details of what sort of concessions it is looking for, however.