Sussex IM plans to expand both its headquarters and south plant this year to accommodate business growth and the potential reshoring of production by customers.
The Sussex-based custom injection molding business makes products for industries including beauty, health care and consumer products. Keith Everson, chief executive officer of Sussex IM, said customers have been expressing an interest in bringing production to the U.S. from Asia and even Mexico.
“There’s a lot of urgency,” he said.
While the trade and tariff disputes between the U.S. and China last year pushed supply chains to other countries, Everson said the COVID-19 coronavirus pandemic is causing companies to bring production to the U.S.
“I think people are really fearing that when the next pandemic hits the reaction by governments will be to shut things down faster and quick and then they’ll be left without the ability to get product,” Everson said.
The company is still finalizing details and timelines but there are two main parts to the expansion. The company will add around 71,000 square feet to its south plant, located near the intersection of Lisbon Road and Highway 164, and add an ISO 8 cleanroom to its headquarters, located on Main Street, just east of Highway 164.
Everson said the expansion of the south plant was planned when the company built the facility a few years ago.
“We wanted to do it in two phases,” he said, adding that the company is in growing markets and now is a good time to build with construction firms potentially looking for work and low interest rates.
Sussex IM currently does some production in a semi-cleanroom environment, but adding actual cleanroom space will be a compliment to the company’s experience with in-mold labeling, two-shot molding and post-molding automation.
“There is a need for cleanroom capacity in the United States,” Everson said. “We want to be a reshoring enabler.”
Sussex IM has continued production during the pandemic, but Everson said the company had to implement precautions including regular temperature checks, rearranging manufacturing lines, installing plexiglass, having employees dedicated to the task of wiping things down and implementing additional cleaning on weekends.
“We have had to go to extraordinary measures to keep our employees safe,” he said, adding the company cannot afford to have the kinds of outbreaks seen in the meatpacking industry.
Everson said he knows some companies are not taking the same kinds of precautions, leaving employees feeling nervous. The pandemic, it turns out, has been a chance to demonstrate company values.
“This has been a true test of our culture,” he said.
Get more news and insight in the April 27 issue of BizTimes Milwaukee. Subscribe to get updates in your inbox here.
