SELMA, Texas — In an effort to strengthen its AirTech business and sharpen alignment with its strategic objectives, Munters will exit the non-core part of the commercial desiccant dehumidification market. This decision primarily affects the U.S. market as it is the primary region where Munters’ commercial products are sold.
Commercial products have been manufactured in the company’s Selma, Texas, plant. This facility will now manufacture desiccant dehumidification units for key account customers only. This will allow the facility to return to its strength of delivering high-volume, pre-engineered solutions for this customer type. Additionally, the Texas plant will provide needed production capacity for the increased demand for Munters cooling solutions for the data center market.
The segments of healthcare, ice arenas, and laboratories and archival preservation associated with universities and colleges previously served through Munters’ commercial product offering will now be served through its industrial product offering. These systems are manufactured in the organization’s Amesbury, Massachusetts, location.
“The decision to depart commercial markets is one that did not come quickly or easily,” said Andrew Cook, vice president of sales and services, Americas Business Area AirTech. “However, this will allow us to focus not only on key accounts, but also on markets such as food, pharmaceutical, lithium battery, evaporative cooling, and Munters Innovation and Service.”
Munters U.S. products are sold through third-party representatives, and those selling the commercial dehumidification product lines have been informed of the company’s pivot away from these products. All accepted commercial product orders as of today with shipment dates on or before December 31, 2020, will be honored, and Munters is committed to working closely with representatives during the transition period. The discontinued relationship with representatives will not impact any of Munters’ warranty obligations for previously sold products.
As part of this initiative, Munters does not foresee any major changes to its supply chain in the U.S. However, some products will be discontinued and adjustments to demand forecasts will be made accordingly. Contacting suppliers impacted by changes is underway.
“Throughout the evaluation, deliberation and analyzation process of arriving at this decision, top priority was given to retaining as many employees as possible,” said Cook. “For positions being eliminated, it was of the utmost importance to make every effort to find other roles within the organizations for impacted employees.”