Steering systems factory to close

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About 160 jobs will be lost with the closure of a County Durham plant which makes vehicle steering components.

Production from NSK Steering Systems Europe (NSSE) in Peterlee will be moved to an existing facility in Poland.

The Japanese firm said the move was necessary to enhance the profitability of the European operation.

About 20 temporary workers will be made redundant by the end of this year, and the remaining jobs will be lost in the first half of 2010.

We will do all we can to help employees find alternative employment Tim Dawson, NSK Europe

The Peterlee operation is being consolidated with a similar factory in Walbrzych.

Tim Dawson, director of manufacturing and procurement for NSK's European operations, said: "We very much regret having to take this difficult decision and we will do all we can to help employees find alternative employment through placement programmes and other practical support."

The Unite union is working with staff during the consultation period.

Some workers, who will lose their jobs, have travelled to Poland to help ensure a smooth transfer of production.

It was "symptomatic of the workforce's professionalism", said a company spokesman.

NSK also operates two ball bearings factories in Peterlee which will not be affected by the closure, according to the firm.