Grupo Bimbo logo on van. Credit: Shutterstock / Manuel Esteban

Mexican bakery giant Grupo Bimbo is to end operations at a factory in Nebraska by early July.

The facility in Bellevue produces bread and buns. It employs 172 people.

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“A recent assessment of our Bellevue, Nebraska bakery concluded that this bakery is inconducive to our company growth plans,” local subsidiary Bimbo Bakeries USA said in a statement.

Bimbo said it will shift production to other bakeries in the company’s manufacturing network.

“This was a difficult decision because of the dedicated teams and community connection of the Bellevue Bakery,” Marco Espinoza, senior director of regional operations, was quoted as saying in the statement.

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“However, after careful analysis and consideration, it was apparent that the facility did not have the infrastructure and manufacturing capability to compete in the marketplace.”

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Last week, Bimbo announced the closure of a facility in Canada, with jobs set to go as a result.

The bakery in Lévis, Quebec, will close its doors in the week starting 1 July. Some 95 employees are impacted by the decision.

In April, Bimbo said it expects to cut its capital expenditure in 2024. Speaking to analysts after Bimbo filed its first-quarter financial results on 22 April, CFO Diego Gaxiola said the group was “expecting a slight decrease for this year” and “for 2025”.

Gaxiola added Bimbo would “probably see a normalisation in [2026] going forward”.

Also in April, the company appointed chief operating officer Rafael Pamias as its new CEO.

Pamias started in the new role on 1 May, succeeding Daniel Servitje, who has been Bimbo’s CEO since 1997.