Hundreds of jobs are being axed after Dunlop Motorsport finally confirmed it was putting an end to Birmingham operations.
The company has begun consultations with 241 workers at the Castle Bromwich site after a drawn out departure from the city.
The work will be transferred to two other plants in Europe after the lease on the factory expires on September 1.
Sanjay Khanna, managing director of Dunlop Brand Europe, said the firm had wanted to remain in the city but had little choice after its site was taken over by Jaguar Land Rover.
This will no doubt be questioned by politicians, after several Birmingham sites were offered to the firm as part of a campaign to keep it in the city.
Mr Khanna said: “Our strong preference was to remain on our existing site, but this has not proved possible.”
“For several months, we have also worked closely with local agencies and authorities to identify local Birmingham site alternatives. Unfortunately no other appropriate site was available locally which would have provided continuity of supply to our key customers.
The company has begun informing and consulting with affected employees and union representatives of the Erdington site.
A total of 241 jobs will potentially be affected, with the work shifting to Hanau, in Germany, and Montlucon, in France.
“We understand that this is a difficult time for our employees,” Mr Khanna added. “It is important our attention is now focused on supporting the employees who will be affected. We will work with our unions and employees throughout the consultation process to provide support.”