TriMas Corp. will close its Draw-Tite towing products manufacturing plant in Canton, Mich., and its Reese Towing Products factory in Elkhart, Ind., in order to consolidate production in Goshen, Ind., by the end of this year, according to published reports.
The new Reese/Draw-Tite manufacturing plant will be in what currently is a Reese warehouse in Goshen. TriMas, a unit of Plymouth, Mich.-based Metaldyne Corp., will invest $10 million to convert the warehouse into a manufacturing plant.
The Canton and Elkhart factories will be closed because neither has room for expansion, a TriMas spokesman told the Detroit Free Press.
Goshen and Elkhart are about 20 miles apart, and all 230 hourly workers at the Elkhart plant can continue working at the new facility in Goshen, if they choose, according to the Elkhart (Ind.) Truth.
However, 31 salaried and administrative positions in Elkhart will be eliminated, according to the newspaper.
Meanwhile, 300 of the 400 hourly and salaried employees of the Canton plant will lose their jobs, according to the Free Press. TriMas did not provide information about what will happen to the remaining 100 employees.
TriMas will create round 100 new manufacturing positions at its consolidated Reese/Draw-Tite plant in Goshen, according to the Truth. The Goshen facility will employ around 480 people when it is fully operational.
TriMas will continue operating its headquarters in Bloomfield Hills, Mich., and it will set-up a Towing Products Business Center in the Detroit area later this year, the Free Press reported. The towing products center will employ about 60 people in finance, marketing, purchasing, product management and various engineering functions.