Southwire to Close Plants in China, Florida - Modern Distribution Management

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Southwire to Close Plants in China, Florida

Southwire will relocate nylon cable tie production to Honduras, and its lifts and welding tools production to third-party manufacturers.
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In an effort to simplify and streamline similar manufacturing processes at its facilities, wire and cable product manufacturer Southwire announced it will close its plants in Langfang, China, and Crestview, Florida, effective Dec. 29, and Feb. 2, 2024, respectively.

“At Southwire, we are committed to serving our customers in the most efficient manner, and part of this commitment involves examining our manufacturing footprint,” said Peter Lugo, Senior Vice President of Product Management for Southwire’s Tools, Components & Assembled Solutions (TCAS) business unit, in a Dec. 4 news release. “While these types of decisions are never easy, this move represents the best use of our investments and ensures that Southwire continues to remain competitive in the marketplace.”

Southwire began operating in its Langfang facility in 2016 following the company’s acquisition of Sumner Manufacturing. This location has produced various lifts, jack stands, welding tools and more since its acquisition, allowing Southwire to expand its tools and equipment business.

Now, it that production will be relocated to third-party manufacturers.

Southwire Relocates Nylon Cable Ties Production to Honduras

Southwire’s Crestview, Florida, facility — previously known as American Elite Molding — was acquired in November 2020. The facility’s production of nylon cable ties has provided growth opportunities and increased the company’s product offering within the TCAS business unit.

The creation of cable ties currently produced in Southwire’s facility in Crestview, Florida, will be relocated to Southwire’s facility in San Pedro Sula, Honduras.

“The decision to close the Crestview and Langfang facilities was not made lightly, and it is not a reflection on the Southwire team members there,” said Jamie Richmond, Vice President of Operations for Southwire’s TCAS business.

In 2023, Southwire announced several expansions which it attributed to its streamlining efforts, including the construction of a nearly 1.2 million-square-foot distribution center in Texas, and the expansion of its building wire plant in Florence, Alabama.

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