USA – 386 Jobless, Two Die Casting Companies Ready to Close
Category: Daily News
Pace Industries, Quad City suffering from weak consumer demand. Two more nonferrous diecasting plants are set to close in the coming weeks, and in both cases the shutdowns are attributed to the overall weak economic conditions. Aluminum diecasting was among the first industrial market segments to feel the effects of the automotive industry’s sharp decline in 2008. Lately, plants that supply diecastings to general industrial, commercial, and consumer markets are feeling the effects of generally weak demand.
Pace Industries will close its Monroe City, MO, plant in July, following a notice to employees earlier this month. The plant is one of 19 operations for the company, which produces machined and finished diecastings and assemblies to manufacturers of automobiles, appliances, and commercial and consumer products.
Last year Leggett & Platt Inc. sold Pace to Kenner Industries and a team of company managers. Kenner had owned the group until it sold Pace to Leggett & Platt in 1996. Reportedly, Pace Industries has endured a 30-50% decline in sales revenue in recent earnings periods. The Monroe City plant produces aluminum and zinc diecastings, and employs 147 workers and 39 managers and clerical staff.
Quad City Die Casting Co. will close its Moline, IL, plant in July, another move attributed to depressed market demand. It produces aluminum, magnesium, and zinc diecastings, largely for products American Kawasaki Motorcycle Corp., but also for other automotive, industrial, and consumer buyers.
About 100 workers will be affected at Moline. The holding company, QuadCast Inc., also operates Davenport White Metal in Davenport, IA, and Red Oak Casting in Red Oak, IA.