Clover Imaging Group (Clover) informed its Ithaca, MI employees that it will move inkjet production to its main facility in Mexicali, Mexico by the end of March. The Ithaca plant will close once the inkjet production has moved.
The Morning Sun reported that employees received letters on 11 January that the plant was closing in March. As part of the report, the news outlet received statements from Keli Posch, Vice President of Marketing for the Clover Imaging Group confirming the move of the jobs to its plant located in Mexicali, Mexico.
A person familiar with the closure told The Recycler that approximately 80 employees involved in inkjet remanufacturing at the plant located at 100 Raycraft Drive, will lose their jobs and the plant will be sold. A small group of 25 employees will stay at the Union Street facilities continuing in research and development and quality control.
Posch said to The Morning Sun: “We greatly regret the impact this change has had on our Ithaca employees. Over the next two months, we will partner with the Dislocated Workers Program to provide transition services to affected employees. We will also partner with area employers to facilitate reemployment opportunities to our Ithaca team.”
Inkjet remanufacturing at the Raycraft Drive site began in 2003 when Cartridges are US moved to the site and in 2007 Clover acquired Cartridges are Us and continued inkjet remanufacturing at the site.
Clover has been consolidating for some time and in May last year announced it stop remanufacturing cartridges at its Vietnam plant effective from the 15th of June. This announcement was closely followed with the news the company would exit the European market as of June 2022.
Our take on this: That this plant would close, and production moved to Mexico, was inevitable. What is surprising is that it is happening now and not last year. But it is the way the market is moving, and you always have to follow the market.
What’s at stake for the “the largest collector and remanufacturer of printer cartridges in the world.” Well the title for sure. As CIG consolidates, volumes will consolidate and competitors will gain share, like they have in Europe. Since remanufacturers rarely give the detailed numbers, our best guess is that Clover may be number one, but certainly in the top three.
