Kitchen and bath fixtures company Incesa Standard on Thursday evening confirmed the closing of its manufacturing operation in Costa Rica, which will be relocated to the company’s facilities in Guatemala and Nicaragua.
The company, owned by Colombian business group Corona, in a press release cited high production costs.
“Costa Rica’s staff has done a great job looking to improve their competitiveness. Unfortunately, intensive labor and high energy consumption required by our manufacturing processes are very difficult to achieve with the country’s high production costs,” Incesa’s President Ricardo Pineda stated.
The decision will mean 150 employees from the manufacturing plant will lose their jobs in coming weeks. The company will maintain a staff of 170 in research and development, sales, distribution and administration, as well as at a faucet factory.
Incesa’s announcement joins other recent closings by restaurant chains Wendy’s and Bagelmen’s.