Mexico Manufacturing Companies To Reflect Shifts In BRP’s Valcourt Strategy
Mexico Manufacturing Companies are continually changing and reflective of this trend is BRP’s recent announcement to move its PWC production from Valcourt, CAN to Mexico, which will affect 500 staff. 2013 marks the initial start point, moving Juarez’s engine production to a new facility in Mexico. Further, PWC assembly will also be transferred from BRP’s current operations in Valcourt to the new plant. In an additional reorganization effort, BRP will outsource its North American distribution for parts, accessories and clothing (PAC) to an regional logistics provider. Reasons for the move enhancing greater utilization of Mexico manufacturing companies are many. Relocated PWC assembly will boost BRP’s competitiveness while also freeing space on Valcourt’s main assembly line in Canada which will thereby increase Spyder roadster production.
In addition, engine assembly transference to the new facility in Mexico boosts production potential in Juarez, enabling BRP to better meet growing demand for ATV and side-by-side vehicles already produced there. Furthermore, by relying on a specialized logistics firm to manage North American distribution of PAC, the company is better leveraged to reduce capital expenditures and stimulate growth. In addition, BRP’s reorganization efforts will also expand customer service. While 500 Valcourt staff will be affected, position relocation or early retirement options will be offered to those staff affected. As President and CEO Jose Boisjoli recently commented, “While we remain very much committed to our heritage and roots in Valcourt, we must become more flexible to leverage our growth opportunities.” By moving some production and assembly functions closer to markets, BRP is better positioned in the global marketplace.