ElFinanciero.com, a business news site, quoted Director of Cartex Manufactura Mauricio Brenes saying that the shutdown aims to reduce production costs as the company sourced fabric from suppliers in China, near the Vietnamese border.
The shutdown after four decades of operating in Costa Rica will make 1,250 employees lose their jobs, adding to the country’s 10,000 unemployed due to multinational corporations outsourcing to cheaper production sites in the last five years. In Vietnam, the firm opened new factories in the northern province of Hung Yen and central province of Thua Thien Hue.
