Hagerstown, MD - GST AutoLeather, Inc. today announced that it will open a new cutting facility in Nuevo Laredo, Mexico, by year-end 2003. The new facility represents the second cutting operation for the company in Mexico. Its first Mexico cutting facility opened in 1997 in Saltillo.
When fully operational, the Nuevo Laredo state-of-the-art cutting operation will employ about 200 people. The Saltillo operation now employs approximately 900.
"This new cutting operation is another step forward in our focus on international leadership in the automotive leather industry," stated Mark D. Lecher, president and chief operating officer for GST AutoLeather, Inc. "This new cutting operation helps ensure that we are able to provide our customers with the highest quality products and highest levels of personal service in a location that is closer to their production and distribution channels.
"GST AutoLeather competes on a global basis, supplying auto leather to some of the most prestigious and demanding automobile companies in the world," added Lecher. "These global demands require us to constantly look at our operations to ensure that we are being as efficient as possible so that we are always providing the highest quality products at competitive prices. It is through this ongoing process that we made the decision to open the new facility in Nuevo Laredo."
While the impact on employment in the United States is not yet fully decided, GST AutoLeather will close its Williamsport II cutting facility in early 2004. It is expected that some of the employees from Williamsport II will move to new roles within the company. In addition, the company will consolidate its Reading, Pennsylvania, manufacturing operations into its Williamsport I facility in Maryland. This consolidation will also take place in early 2004. Discussions with union officials about the plant closings and employee outplacement services are underway. "These are good employees and anyone should be proud to add them to their workforce," commented Lecher.
About GST AutoLeather (www.gstautoleather.com)
GST AutoLeather is headquartered in Hagerstown, Maryland, and is a proud supplier of the world's finest automotive leather. The company processes nearly 100 million square feet of leather per year and holds a 15 percent global market share. Some of the industry's most prestigious automobile companies turn to GST AutoLeather for its innovation, customer service, quality and dependability. GST AutoLeather engineers and technical experts work hand-in-hand with customers to conceive, design and develop new generations of leather for such nameplates as Toyota, Lexus, Acura, Chrysler, Ford, Honda, Isuzu, Lincoln, Mazda, Dodge, Jeep and AM General.