Plano Custom Molding and Engineering Co. is closing its injection molding plant in its hometown of Plano, Ill. The move will eliminate about 70 jobs.
The firm is best known for producing plastic tackle boxes for the fishing industry. That business received a boost in March when it received $30 million in federal tax relief.
Plano will continue to produce its line of proprietary tackle boxes, toolboxes and cosmetic cases at plants in Sandwich and Mendota, Ill., spokeswoman Lisa Siroky said in a telephone interview. The firm's headquarters will remain in Plano.
The closing is directly linked to a drop-off in custom molding work, officials said in a news release.
``It is a very difficult decision to ... de-emphasize the focus on custom molding,'' Plano Chairman Peter Henning said. ``However ... the rapidly increasing impact of injection molding business moving offshore limits the potential for custom molders without secure and defensible niches.''
Officials added that the custom molding market ``faces a situation of overall excess capacity that management does not expect to be absorbed in the near future.''
Plano reported injection molding sales of $12.3 million in 2002, a 30 percent drop from the year before.