WAKEFIELD, Mass. (Jan. 12, 2011)—Maine Industrial Tire L.L.C. is planning a “major expansion” of its Red Lion, Pa., wheel factory and distribution center to accommodate industrial tire production that will be moved there over the coming six months from its Gorham, Maine, plant, which is closing.
Maine Tire did not disclose investment projections associated with the move or cost estimates related to closing the Gorham plant and consolidating its manufacturing capacity to Red Lion and a plant in Xingtai, China.
A Maine Tire spokesman said there is plenty of space under roof at the Red Lion facility to absorb the manufacturing to be moved there. The company is still determining which product lines and associated equipment will be moved to which plant.
Maine Tire will offer a severance package to those at the Gorham plant whose jobs are being eliminated. The company expects to relocate some of them, though, to other offices, the spokesman said. There are 61 employees affected.
Red Lion is a community of about 6,000 in York County 35 miles south of Harrisburg, Pa., and 50 miles north of Baltimore.
The spokesman did not say how large the Red Lion plant is but noted it's the company's largest distribution center in addition to being a wheel manufacturing site. There are roughly 20 employees engaged there.
The spokesman stressed the company is striving to maintain its full product line after the consolidation is completed.