RESHORING CASE

Berria Bike

Company details
Code: 
Berria
Company name: 
Berria Bike
Company country: 
Spain
Sector: 
C - Manufacturing
Sector detail: 
C30 - Manufacture of other transport equipment
Sub-sectors: 
C30.9.2 - Manufacture of bicycles and invalid carriages
Reshoring details
Reshoring announcement date: 
04/02/2016
Starting implementation date: 
February, 2016
End of Implementation : 
June, 2017
Reshored to: 
Spain
Location of affected unit(s): 
Ossa de Montiel (Albacete)
Location code: 
ES421
Reshored business function: 
Production
Partial or Total reshoring: 
Partial
Reshoring governance mode: 
In house (in own facilities)
Estimated job gains: 
10
Reasons for reshoring: 
Change in total costs of sourcing
Delivery time
Improve customer service
Labour costs' gap reduction
Logistics costs
Proximity to customers
Case narrative: 

Berria Bikes is a new Spanish company, founded in 2012. It is a family business started by the ex-professional David Vitoria and his brother Josè. In 2015 their revenues reached 4 millions (in Euros). The company's new plan is to open a plant with 20 employees in Ossa de Montiel (Albacete), backshoring the production from China and Taiwán. José Vitoria declares that the new plant is going to occupy 4.000 square meters, and it should start in June 2017. Berria Bike aims to increase the customization of the products, and to be able to deliver in only 21 days from the order. In addition, costs of production in Asia are increasing, motivating other competitors to backshore their production.

Sources: 

Palco23, 04/02/2016

Offshoring details
Offshoring location: 
China