DuraFiber Planning to Close Factories, Lay off Workers
Huntersville-based textile company DuraFiber Technologies is planning to close three factories in North Carolina and South Carolina if it fails to find a buyer for them.
The company has confirmed that two plants located in North Carolina—one in Salisbury and the other in Shelby—may be closed down. DuraFiber has also indicated that its factory in Winnsboro, South Carolina will be shuttered if no interested party comes forward to buy these plants.
The company reports that it employs around 800 workers at the three plants in total.
The textile company, which manufactures durable textile material for industrial use, says it is facing stiff competition in its niche industry. The company is striving to cut its production costs in order to stay competitive in the American market.
To that end, the company is now seeking potential buyers for the three plants, which no longer fit into the company’s strategic vision. However, if no party comes forward to buy these plants by September, DuraFiber will close them down. In the process, hundreds of workers will face layoffs.
In addition, the small economies of the towns where DuraFiber was employing a significant number of locals may also suffer. More than 200 jobs are at stake in Winnsboro alone.
“[T]he loss of this plant is going to be very difficult for the town and for the citizens and for the community,” said the mayor of Winnsboro, Roger Gaddy. He also pointed out that the Town of Winnsboro sells natural gas to DuraFiber, so the town will lose that revenue if the factory closes.
The next two months are going to be crucial for the workers. “Our team will work diligently to ensure a smooth transition for our employees, customers, and suppliers during the next 60 days, even as we continue to pursue strategic alternatives to keep these plants open,” said DuraFiber CEO Frank Papa said in a press release.
The multinational company says its operations outside of the United States—in France, Germany and Mexico—are not going to be shut down.
“DuraFiber Set To Close, Hundreds of Jobs Lost,” WLTX19, July 14, 2017.
“DuraFiber to close Carolinas plants unless buyer is found,” The News & Observer, July 14, 2017.