Published reports from India state that the recent collapse in European car sales has forced Stokes Group, a UK-based subsidiary of India's Mahindra Forgings, to close its manufacturing plant in Walsall, West Midlands. The company said that the closure will likely to affect jobs of 137 employees and that it will be completed by the end of April.
"The company has been operating in a challenging environment for some considerable time and the recent collapse in car sales has negatively impacted the current prospects," the company said.
Stokes Group, which produces forged and machined components for the automotive industry, is concentrating its forging and machining operations at the its other two sites in Dudley and Brierley Hill. An additional 52 additional jobs would be required at the Dudley and Brierley Hill plants, the company said.