LISLE, Ill — Navistar International Corporation is closing its Garland, Texas, truck plant. The company, most notable for building International trucks, aims to have the facility shut in early 2013.
The Garland facility assembles the Paystar and other International severe-service trucks, as well as the Caterpillar CT series that’s based to a large extent on the Paystar.
The plant employs about 900 workers and the truck volume at the Garland plant will be moved to other North American operations, probably Springfield, Ohio and Escobedo, Mexico.
“Closing a facility is always difficult because of its impact on the many great people who’ve been part of our company,” said Troy Clarke, Navistar president and chief operating officer. “But the fact is that Navistar has too much manufacturing capacity in North America and we must take quick action to improve our business and position the company for long-term success.”
The closure is designed to cut Navistar’s operating costs by between $25 million and $35 million annually.
Others among the company’s 19 North American plants could also be closed, Clarke said recently. As well, some 800 white-collar jobs will be cut through voluntary buyouts and layoffs and by a 28 percent reduction in engineering spending.
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