Factory fallout: Manufacturing plant closures and layoffs from Intel, DyStar, UPS, and more

Factory fallout: Manufacturing plant closures and layoffs from Intel, DyStar, UPS, and more

May 26, 2025
The tightening global economy is prompting manufacturers to streamline operations and reduce workforce numbers

With political winds changing and global markets tightening, manufacturers are making tough decisions—and workers are feeling the impact. In this roundup, we chronicle the closures and cutbacks reverberating throughout the manufacturing sector. As uncertainty becomes the new normal, we examine how businesses and workers alike are navigating a rapidly changing industrial landscape. 

According to CBS News Detroit, Heartland Recreational Vehicles, a manufacturer of towable recreational vehicles and travel trailers, will close its facility in Sturgis, Michigan, resulting in the loss of 121 jobs. The company filed a WARN notice stating that the closure of the Haines Boulevard site is due to "business necessity." The layoff, effective June 20, will affect six salaried employees and 116 non-union hourly workers. 
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According to Fast Company, Intel Corp., a major American chipmaker, confirmed it will lay off up to 20% of its workforce, potentially impacting nearly 22,000 employees. The layoffs, announced by new CEO Lip-Bu Tan, aim to reduce costs and refocus the company on engineering innovation. In a recent quote, Lip-Bu Tan, CEO, said, "I am a big believer in the philosophy that the best leaders get the most done with the fewest people." The cuts are expected to be larger than Intel’s previous mass layoffs in August 2024. 
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DyStar has announced it will cease manufacturing operations at its DyStar Hilton Davis facility by June 30, 2025, as part of a broader plan to consolidate and optimize its manufacturing footprint in the Americas. The affected plant, which produces FD&C dyes, D&C dyes, Lakes, Technical Dyes, and Pigment Dispersions, will have some of its production integrated into DyStar LP in Reidsville, North Carolina. In a recent quote, Mr. Xu Yalin, Managing Director and President, DyStar Group said, “We believe that the success of the strategic plan will position DyStar to decisively respond to the fundamental changes taking place in the industry and enables us to improve profitability while maintaining strategic product development capability, and to accelerate growth over the long-term.” 
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According to The Standard-Times, Ariston USA, part of the Ariston Group and a producer of electric instant water heaters, electric storage water heaters, and heat pump water heaters, will lay off 73 employees at its East Freetown facility, reducing its full-time U.S. workforce by 48%. The layoffs are scheduled to begin on June 1 and continue through the end of 2025, as detailed in a Worker Adjustment and Retraining Notification (WARN) filing. In a recent quote, the company said, "While our East Freetown facility has played a critical role in HTP production over the years, the plant now requires significant maintenance and is no longer aligned with the technological advancements needed to support its future product roadmap." The closure reflects a shift in the company's focus toward more technologically advanced manufacturing capabilities. 
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According to CBS News, UPS, a global shipping and logistics company, announced plans to cut 20,000 jobs in 2025 as part of a consolidation strategy driven by a decline in package volumes from Amazon, its largest customer. The layoffs will affect just over 4% of UPS's 490,000 employees and will be accompanied by the closure of 73 buildings by the end of June 2025, with the potential for additional closures. In a recent quote, Brian Dykes, the chief financial officer of UPS, said, "These actions will enable us to expand our U.S. Domestic operating margin and increase profitability." 
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About the Author

Alexis Gajewski | Senior Content Strategist

Alexis Gajewski has over 15 years of experience in the maintenance, reliability, operations, and manufacturing space. She joined Plant Services in 2008 and works to bring readers the news, insight, and information they need to make the right decisions for their plants. Alexis also authors “The Lighter Side of Manufacturing,” a blog that highlights the fun and innovative advances in the industrial sector.