A Bluesy Note

ABB to discontinue production in St. Louis; 120 jobs lost

ABB announced Monday that it would discontinue production at its St. Louis facility, where power transformers are made, as part of a larger realignment to its power grid business.

The Swiss engineering group’s Power Grids division has dropped by 9 percent in 2017, making it the least profitable of all ABB businesses. Power Grids is home to ABB’s electrical substations production.

The blanket restructuring figures to affect at least six other ABB locations, three of which are in North America:

  • Boston, Mass. – ABB’s South Boston facility is expected to pick up some of the production left by the St. Louis closure
  • Crystal Springs, Miss. – The company also plans to invest in this facility about 25 miles south of Jackson, Miss., again to compensate for St. Louis
  • Varennes, Quebec, Canada – ABB said Monday it will expand its medium and large transformer factory in this Montreal suburb

…and it doesn’t stop there. In Europe, the company intends to consolidate production of traction transformers in Lodz, Poland alongside a halt in production of train components at its factory in Geneva, Switzerland, which is expected to lose 100 jobs, as well. Not that this lessens the pain in St. Louis—but worth noting that this is clearly a full overhaul—as its home turf is being equally affected.

The group will also expand production in India and upgrade its factory in Datong, China, both places where local market demands are higher.

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