Nearly all the parts for the Terex Telehandler provided locally
By Jeni Jewell
Thursday, September 24, 2009 at 5:40 p.m.
Read more: Local, Economy, Terex, Telehandlers, Baraga, Peninsula Powder Coating, Genie
BARAGA -- Although production had dropped significantly at Terex in Baraga over the past year, the businesses around the plant were still shocked to learn that Terex is closing its doors. And now the businesses are left wondering how they'll stay afloat in a tough economy.
Terex Telehandler say they'll be closing the Baraga plant between November 30 and December 11, and this at a time when jobs in Baraga County are hard to find.
"We're at 26 percent unemployment right now," said Baraga County Commissioner, Bill Menge. "And this is definitely going to chase that up, which we don't want."
The 90 people who currently work at the plant will lose their jobs. According to a company spokesperson, no one has been offered a transfer to Moses Lake, Washington, where they're relocating the plant.
Just feet away sit other businesses that provide nearly all the parts and paint for the Terex Telehandler, like Peninsula Powder Coating, which paints all the parts for the Telehandler.
"The market has dropped extensively over the past year," said owner, Brian Baccus. "So, our business was already off a good chunk from last year. But this is going to be a big blow to our business. Roughly 30 to 40 percent of our business will disappear when they close their doors."
Staff at Hi Park Industries, who provide Terex with all the tires for the telehandlers, wonder who they'll sell to in the future.
This is after Terex went from producing 12 Telehandlers a day to one a day, leaving them with excess tires.
