Parkdale Mills to Shutter Lexington Yarn Plant

Closure will impact 68 jobs as company cites economic pressures from rising energy costs.

Apr. 14, 2026 at 4:55am

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A high-end, photorealistic studio still-life photograph featuring a pile of colorful yarn skeins arranged elegantly on a clean, monochromatic background, symbolizing the core product and economic challenges of the textile industry.The closure of a major yarn plant in Lexington highlights the economic pressures facing the textile industry in the region.Lexington Today

Parkdale Mills, a yarn manufacturer based in Gastonia, South Carolina, has announced plans to permanently close its Lexington, South Carolina factory by June 7, 2026. The closure will result in the elimination of 68 jobs, according to a letter from the company's Vice President of Human Resources Karen Menting to the North Carolina Department of Commerce.

Why it matters

The closure of the Lexington plant is the latest example of economic challenges facing the textile industry in the region, as rising energy costs and other inflationary pressures continue to squeeze manufacturers. The loss of 68 jobs will have a significant impact on the local Lexington economy.

The details

In the WARN Act notice, Menting cited "the declining economic environment created by rapidly rising energy costs" as the primary reason for the plant closure and job cuts. Parkdale Mills is one of the largest yarn producers in the United States, with facilities across the Southeast.

  • Parkdale Mills plans to permanently close the Lexington plant by June 7, 2026.

The players

Parkdale Mills

A major yarn manufacturer based in Gastonia, South Carolina with facilities across the Southeast United States.

Karen Menting

The Vice President of Human Resources at Parkdale Mills.

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What they’re saying

“The economy was to "will be permanently closed as a result of the declining economic environment created by rapidly rising energy costs,”

— Karen Menting, Vice President of Human Resources

The takeaway

The closure of the Parkdale Mills plant in Lexington is a troubling sign for the textile industry in the region, as manufacturers continue to grapple with inflationary pressures and economic headwinds. The loss of 68 jobs will be a significant blow to the local economy, underscoring the need for policymakers to support struggling manufacturers and workers.