The UK business has not been profitable since its incorporation in 2000 and its reported losses since total £669m. Various restructures were attempted but none were successful.
Visteon UK includes plants in Basildon, Belfast and Enfield. Employing approximately 600 people, the plants manufacture automotive interiors, climate and powertrain components.
Other Visteon operations are not impacted by the action, including the company’s Engineering Services subsidiary, which employs approximately 400 people at Visteon’s UK customer and technology centres.
‘Despite extensive restructuring efforts, the UK plants have continued to incur substantial losses. Regrettably, having exhausted all options, the Visteon UK board of directors had no alternative but to file for administration,’ said Donald J Stebbins, chairman and chief executive of Visteon Corporation.
Jim Tucker, KPMG’s joint administrator, said: ‘The entire automotive supply chain has been under pressure for a number of years. In the current economic downturn, car sales have dropped dramatically, which has caused further severe pressure on parts suppliers.’
Visteon Corporation is a global automotive supplier that designs, engineers and manufactures climate, interior, electronic and lighting products for vehicle manufacturers, and also provides a range of products and services to aftermarket customers.
With corporate offices in Van Buren Township, Michigan, Shanghai and Basildon in the UK, it has facilities in 27 countries and employs approximately 33,500 people.