MADISON HEIGHTS, MICH. - D-M-E Co. is shifting production of standard mold bases from its Michigan headquarters to a Pennsylvania plant, a move designed to concentrate similar products in one facility.
The tooling and hot-runner-system supplier will move eight to 10 machining centers from its Madison Heights facility by the end of the first quarter, said D-M-E North America General Manager Dave Lawrence. Most of the equipment will shift to the company's 100,000-square-foot plant in Youngwood, Pa., where D-M-E will make a majority of its standard mold bases, Lawrence said.
The company renovated the Youngwood plant over the past two years, Lawrence said.
The equipment shift will free 20,000-30,000 square feet of space at the Madison Heights headquarters. The company plans to use the area to expand its hot-runner and temperature-control service and repair capabilities and use some space for additional warehousing and distribution, Lawrence said.
The company, a unit of Cincinnati-based Milacron Inc., will lay off about 20 people in Madison Heights as part of the move. But it plans to add 12-15 people in Youngwood. The Pennsylvania facility primarily processes steel used by D-M-E to make its standard and custom mold bases.