In Sheboygan, Wisconsin, Midwest Leather has said it is to close its Paul Flagg facility by the end of the year and transfer production to China. 105 job losses will result from the closure.

According to Tom Packee, Vice President and General Manager of Midwest Tanning, production will be switched to Jiagmen tannery, a joint venture with Austins Marmon located in Southern China. "As regrettable as the job losses are, in the end we had no choice but to move production offshore as that’s where our customers are, and they were insisting on us making the move," commented Packee, who added that the company’s US marketing activities would continue to be run from Sheboygan.

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