The Danville plant, which opened in 2008, employs around 300 people and produces more than 300 employees. The plant is currently being relocated to Europe, the Swedish company said in a statement. Shelves and cabinets sold in the US and Canada.
IKEA states in a statement that "the cost structure of production in Danville is very high, especially in relation to raw materials, which leads to significantly higher prices than in other factories in Europe that produce similar products."
In this context and "after a detailed analysis, it was decided that the conditions for further production in Danville are not met," says IKEA.
Bert Eades emphasized that this was a "very difficult decision" and added that "every effort has been made to improve and sustain the competitiveness of this decision. But the cost constraints are unfortunately not ideal to continue in Danville in the long term
He also said that the company will do everything in its power to help the affected employees find a manufacturing facility
The announcement of the closure of this factory in one of the most important for the next presidential election States could go into Donald Trump's radar, which has already pressured business groups to stop closing productions in the US [1
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