Bridgestone, a Japanese tyre manufacturer, has announced plans to reduce jobs at two factories in northern Spain due to the challenging conditions in the European market and the increasing presence of non-European products.

The job cuts will affect 546 employees at the factories in Cantabria and the Basque Country that produce tires for various vehicles like tractors, farm vehicles, buses, and trucks. The local union, UGT, disclosed this information on Tuesday and mentioned that they intend to call for a strike at the factories. Bridgestone Hispania, the local subsidiary, currently employs 2,800 people.

The company explained that due to market conditions marked by inflation, uncertainty, and regulatory changes, they need to make production capacity adjustments. This action to reduce capacity and expenses in Europe reflects a broader trend in the industry that is facing challenges due to the European car industry's difficulties.

Last year, Michelin, Bridgestone's French competitor, had also announced layoffs and factory closures in France, attributing it to high costs and stiff competition from Asian manufacturers.