Multi-national manufacturer moving headquarters to Strathroy

·2 min read

A company planning to expand sales in Canada and the United States is moving its headquarters to Strathroy and hopes to have 60 people working there in the next few years.

GOSS Auto Parts Ltd bought seven acres of industrial land in town. Its first phase will see a 25,000-sq-ft building built next summer, with phase two one or two years later and phase three shortly after that, according to CEO and president Arturo Zárate.

A smaller Canadian headquarters focused on US sales of components for heavy trucks, and research and development was built in London in 2016 after the company got its start in Mexico as GOSS Global in 2008.

Strathroy is where Zárate sees growth coming in sales to northern states and Canada with a focus on after market vehicle accessories like floor mats and cargo boxes.

Why does he see such potential?

“The thing is Canada requires a lot of products for winter, especially when winter is coming you need to have better protection for your vehicle like with floor mats. And models of products in the market are not meeting the requirements of the environment of the market,” explained Zárate.

And Strathoy was in the right spot for Zárate’s plan.

“I think it is in a pretty good location, very close to the (highway) 402, very close to the border. Some of the potential products that we are planning to bring to this plant also are related with OEX in the States, so the closer to the border the better for us,” said Zárate.

He believes southwestern Ontario has other advantages, too.

“Lots of people think manufacturing in low-wage countries is more profitable, but at the very end when you are using good technology, the cost of the labour doesn’t matter too much,” said Zárate.

“I spent some time in Japan and learned the Japanese manufacturing systems. What I learned is when you are implementing guiding activities and when you are improving your strategies, the labour cost is not what matters. What matters is the productivity of your labour person. And I think being close to the market and producing with the right technology in Canada is still profitable, even in comparison with Mexico.”

Chris Gareau, Local Journalism Initiative Reporter, The Middlesex Banner

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