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Detroit Axle warns of more layoffs as tariff case is heard by federal court
Detroit Axle warns of more layoffs as tariff case is heard by federal court

Miami Herald

time11-07-2025

  • Automotive
  • Miami Herald

Detroit Axle warns of more layoffs as tariff case is heard by federal court

Detroit Axle, a large aftermarket auto parts dealer, says it has cut a handful of jobs so far and more layoffs are coming if it can't get tariff relief on goods it imports from China. The Ferndale-based company, which in May sued President Donald Trump's administration over the tariffs, said in recent court filings that it's been forced to lay off 10 employees and notified the state officials of 100 more. A federal three-judge panel heard arguments in the case Thursday and could issue a decision in the coming days. "The company is already operating at a loss, has begun firing employees, and is perilously close to going out of business," said one recent court filing, which urged swift action in the case. The Detroit Axle job cuts come after Trump ended the "de minimis" exemption, which previously allowed small-value packages from China to enter the country duty-free. The firm argues the abrupt cancellation of that exemption could mean the end of its business, which employs more than 500 people, with almost half of those in Michigan. Detroit Axle had leaned heavily on the small-value package carve-out in order to affordably ship China-made parts to U.S. customers - such as mechanics and do-it-yourselfers - from a distribution center in Juarez, Mexico. Without the under-$800 package exemption in place, it says those same parts now face a 72.5% tax at the border, so it's halted shipments from the facility altogether. CEO Mike Musheinesh said in a recent court filing that the tariffs had "profoundly damaged" the business. "Detroit Axle's price-sensitive customers would not tolerate that price increase, and Detroit Axle cannot lower its prices to absorb the impact of the tariffs," Musheinesh said in a legal declaration filed late last month, as his company has sought a preliminary injunction that would provide it tariff relief. On Thursday, attorneys for Detroit Axle and the government made their case before the three-judge panel of the U.S. Court of International Trade in New York City. The family-run firm joins several companies actively challenging the president's ability to impose his sweeping import taxes. Detroit Axle's case is intertwined with another tariffs case recently heard by the same New York trade court, which involved several states and businesses including VOS Selections Inc., a wine and spirits company. In that case, the trade court agreed that the president's moves to set new duties had exceeded his legal authority under a law called the International Emergency Economic Powers Act, or IEEPA. But those broader set of tariffs are still in place while an appeal plays out. If the VOS group ultimately wins, it will bolster Detroit Axle's argument that Trump wasn't legally allowed to unilaterally end the de minimis exemption. But the company's attorney, Tom Dupree, on Thursday also argued that the parts distributor should prevail even if the Trump administration succeeds in the VOS case, because government officials didn't conduct the proper noticing and comment period before the tariff exemption ended. A government lawyer, Sarah Welch, pushed back on that idea, stating that the Detroit Axle case should be treated separately from VOS, and that a portion of a Trump executive order that axed the de minimis exemption could live on even if his other tariffs are legally halted. Government attorneys have argued that the end of the de minimis exemption hasn't actually had a significant impact on the company, pointing out that Detroit Axle didn't file its case for a couple of weeks after the new policy became official. One of the judges said that under the recently-signed One Big Beautiful Bill Act, Trump's sweeping policy legislation, the de minimis exemption is formally set to end in 2027 anyway. Dupree said that later timeframe is OK, and gives Detroit Axle time to adapt its business model, whereas Trump's unilateral order ending the exemption earlier this year did not. Musheinesh, in his recent legal declaration, said the company has fulfilled orders from a stockpile of parts at its Michigan facility. But as that supply has been depleted, it has been forced to import some of its parts from the Mexico facility, "paying millions of dollars in tariffs on them before selling them to customers, often at a loss. When the pre-tariff inventory runs out, the business will no longer make economic sense." He said the company's can't quickly shift to non-Chinese suppliers because it has long-term contracts with those companies, non-Chinese suppliers cost more, and they don't offer all products at the same quality level. Copyright (C) 2025, Tribune Content Agency, LLC. Portions copyrighted by the respective providers.

South Wales Print Firm Paves Way for Growth as Development Bank Supports MBO
South Wales Print Firm Paves Way for Growth as Development Bank Supports MBO

Business News Wales

time24-06-2025

  • Business
  • Business News Wales

South Wales Print Firm Paves Way for Growth as Development Bank Supports MBO

(L-R) Bob Adams; Sam Macalister-Smith, Development Bank of Wales;' Shaun Davies; Darren Coxon; Tom Dean A management buy-out (MBO) part-funded with a significant equity investment from the Development Bank of Wales has ensured continuity for Ferndale-based Screentec, as the print business prepares for future growth. Screentec, which employs 26 people locally, has been a trusted supplier of high-quality screen, digital, and large format printing solutions since 1997. Based in the Rhondda Valley, the company has built a reputation for quality and innovation, with clients in sectors including manufacturing, construction and professional services. The equity investment from the Development Bank has enabled the founding directors David Dean and Darren James to pursue other business interests. The new ownership team is led by Tom Dean as Managing Director, along with Shaun Davies as Operations Director and Bob Adams as Finance Director. The team are joined by Darren Coxon, previously of the Pensord Group, as a non-executive Chair. The Ferndale-based firm has plans to grow its team with four new jobs, bringing its total workforce up to 30. Tom Dean, Managing Director at Screentec, said the completion of the MBO would allow the business to focus on driving growth under the new leadership team, with plans to increase market share in South Wales and expand into new client sectors. He added: 'The MBO will allow us to build on the strong foundations already in place and accelerate our plans to grow the business further. With the support of our dedicated team and loyal client base, we're in a great position to take Screentec into its next phase. 'We're also very grateful to the support we had from the Development Bank of Wales in helping to complete the transaction smoothly, and supporting us throughout the transaction. We look forward to working with them as we continue our growth plans.' Darren Coxon, new non-executive Chair at Screentec, said: 'Screentec has an excellent reputation, and I'm delighted to have been appointed as Chair to help the team achieve their immediate and longer-term objectives. 'The drive and determination shown by the new leadership team to date is infectious and I'm certain that through innovation and hard work we'll see the company grow in strength and numbers.' Sam Macalister-Smith, speaking on behalf of the Development Bank, said: 'We had no hesitation in supporting the Screentec team on their journey. The business has a proven track record, a strong market presence, and a clear strategy for growth – exactly the kind of company we're proud to support. 'With a fresh yet experienced perspective, the new team has a keen focus on future growth, and we're pleased to have supported them with this investment.' He added: 'We'd like to thank Richard Jones and his team at Blake Morgan for advising us on this investment.' The funding for Screentec came from the Wales Management Succession Fund . Financed by Welsh Government and the Clwyd Pension Fund, it provides support to management teams looking to buy out businesses, with loans and equity investments between £500,000 and £3 million available. Terms range from one to seven years. For more information, visit

Donated blankets keep hospitalised babies warm this winter
Donated blankets keep hospitalised babies warm this winter

The Citizen

time21-06-2025

  • Health
  • The Citizen

Donated blankets keep hospitalised babies warm this winter

The cold days of winter are being held at bay in three paediatric wards of Rahima Moosa Mother and Child Hospital (RMMCH), filled with precious babies who lovingly received donated blankets from a local organisation. For one excited mother, Tryphina Maswanganyi, this blanket means keeping warm while spending cold nights at the hospital with her three-year-old daughter. Read more: Rahima Moosa Mother and Child Hospital celebrates their nurses in International Nurses Day She was overwhelmed by the kind gesture that will now aid in her sickly daughter's wellbeing. 'Nights are cold at the hospital, but now we get to keep warm.' Making this all possible was the Shincheonji Volunteers, a Ferndale-based nonprofit. Their team of seven ventured into the various wards, filled with gentle coos of babies and tender whispers from doting mothers. As they gave away these blankets, they described the gift as one made with love. The recipients' appreciation and excitement was clearly visible as they had their pick from a selection of handmade crocheted and knitted blankets. Xihaluke Mabasa, from the nonprofit, said RMMCH is often faced with many challenges, and they saw fit to help alleviate, at least one of those. He said, one of their principals is to always be of help to those in need. He explained that these blankets were handmade by people across the city, and each one included a special message for its recipient. Follow us on our Whatsapp channel, Facebook, X, Instagram and TikTok for the latest updates and inspiration! Have a story idea? We'd love to hear from you – join our WhatsApp group and share your thoughts! At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!

Public House in Ferndale closing in 2 weeks, to be replaced by Sidecar Slider Bar
Public House in Ferndale closing in 2 weeks, to be replaced by Sidecar Slider Bar

Yahoo

time28-01-2025

  • Business
  • Yahoo

Public House in Ferndale closing in 2 weeks, to be replaced by Sidecar Slider Bar

Citing tough economic times in the industry, the owners of Public House restaurant in Ferndale announced it will close in February, with a Michigan restaurant chain expected to move into the space. Located on Nine Mile road for a dozen years, Public House offers a menu of classic bar food including sliders and craft cocktails. According to its website, the Public House menu offers wings, sandwiches, soups, fish and chips and smoked mac and cheese, and features a weekend brunch menu. Formerly owned by the Working Class Outlaws restaurant group, Public House closed during the pandemic. Brian Kramer, owner of Ferndale-based Hometown Restaurant Group, acquired the restaurant in 2020 and reopened in 2021 with new features, including adding a second kitchen, a four-season garden room, flower wall and offering more vegan fare. Kramer, CEO of Hometown Restaurant, called the decision to close "difficult" and "heartbreaking." 'The restaurant business is very difficult right now. In my 30-plus years in the restaurant business, I've never experienced a tougher economy than what we are experiencing today. Add to this the high food costs, high labor costs, intense competition, the need for constant quality control, tight profit margins and endless hours of work — we just agreed the time was right to close the restaurant, take a step back, focus on our other restaurant operations and give someone else a chance to re-concept the location.' More: Auto supplier Piston Automotive to create 144 jobs at old State Fairgrounds in Detroit Hometown Restaurant Group restaurants include One-Eyed Betty's, Pop's for Italian and Tigerlily. As Public House winds down its operation, the restaurant will be open Friday-Sunday only with limited hours. Public House's final day is Feb. 9 with brunch service from 10 a.m.-3 p.m. Sidecar Slider Bar will take over the Public House space and is expected to open quickly, Hometown Restaurant Group said. This will be Sidecar Slider Bar's eighth location. Others are in Birmingham, Brighton, Farmington, Grosse Pointe, Lansing, Plymouth and Sterling Heights. Sidecar Slider Bar is known for gourmet sliders, as well as shareables, salads, gourmet dogs and more. Kramer said the new concept will fit well with the current mix of offerings in the city's core. Savvy Sliders: Michigan-based chain to celebrate grand opening of Plymouth location Kramer, who owns the building that houses Public House, said the plans are to hand over the keys to Sidecar on Feb. 15. 'Sidecar is locally owned and operated, and will be a great addition to our Ferndale community," Kramer said. Contact Detroit Free Press food and restaurant writer Susan Selasky and send food and restaurant news and tips to: sselasky@ Follow @SusanMariecooks on Twitter. Subscribe to the Free Press. This article originally appeared on Detroit Free Press: Public House in Ferndale set to close in 2 weeks; Sidecar to move in

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