Goodyear Tire & Rubber Company (NASDAQ: GT) reached an agreement with the United Steelworkers to permanently close its manufacturing facility in Fayetteville, North Carolina, according to a company statement dated July 16, 2026.

The closure is part of a plan to reduce production capacity and lower production cost per tire in the Americas. The plan includes approximately 1,750 job reductions and is expected to be substantially complete by the end of 2027.

Goodyear estimates total pre-tax charges associated with the closure will range between $535 million and $565 million. Of that total, $190 million to $210 million are expected to be cash charges, primarily for employee-related and other exit costs. The remaining charges are expected to be non-cash, including $290 million to $310 million for accelerated depreciation and other asset-related charges, and $40 million to $50 million for pension special termination benefits.

The company expects to record approximately $205 million to $225 million in pre-tax charges during the third quarter of 2026, and approximately $65 million to $85 million during the remainder of 2026. The majority of cash outflows are expected to occur by the end of 2027.

Goodyear projects the actions will improve Americas segment operating income by approximately $90 million in 2027 and by approximately $270 million annually in 2028 and beyond.