Samoa’s biggest private employer is going out of business.
Samoa Observer reports that Yazaki Samoa has announced at a press conference that it is closing its factory at Vaitele at the end of 2017.
The Yazaki factory at Vaitele which makes wire harnesses for vehicles currently employs, more than 700 employees.
The closure will have a major impact on the economy of Samoa, especially the thousands of people who depend on the company for their living.
Yazaki’s Branding Division Manager in Japan, Yoko Yamada, said the closure is due to the car manufacturing industry in Australia winding up.
He said the latest developments in the market there have had a “knock on impact here,” forcing the company to re-evaluate the viability of their operation in Samoa.
Mr. Yamada said the company fully understands this is a difficult situation for their employees and their families. But they are committed to provide support where they can to make the transition smooth.
