Tier 2 automotive supplier Leon Interiors Inc. will close its Grand Rapids, Mich.-area manufacturing facility as automakers increasingly look to Mexico in sourcing parts, the company has announced.
Leon is a subsidiary of Holland, Mich.-based Motus Integrated Technologies, which acquired the Tier 2 supplier of door, console and instrument panel trim in March. In addition to its Grand Rapids-area plant, Leon operates three manufacturing facilities in Mexico.
“[Leon] is closing the facility because current product runs are ending and unfortunately most new interior trim programs for the North American region are being sourced in low-cost production countries, primarily Mexico,” the statement reads.
The closure will eliminate approximately 125 positions, with permanent layoffs likely to begin in November, according to the statement. The facility is expected to close in early 2016.