Nokian Tyres said ongoing strikes affecting ports and transport in Finland had led to tyre stocks filling up, as delivery to customers was impossible.
Production of passenger car tyres would stop for at least two weeks.
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After negotiations with 350 production workers, it was agreed employees could be laid off for financial and production related reasons for a maximum of 90 days.
Initially, a layoff was agreed for 26 March to 9 April.
Production of heavy tyres would continue as normal.
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