Lippert Components and Furrion said they plan to cease the distribution agreement that has been in force since 2015. On January 1, 2020, Furrion will take over the sale and distribution of its products previously handled by Lippert in the U.S. and Canada. The original agreement was for six years.
“LCI and Furrion have enjoyed a very successful four-year partnership providing Furrion appliances and electronic products to OEMs and aftermarket customers throughout the United States and Canada during which time Furrion has grown significantly,” said a company statement. “While the businesses will continue to explore opportunities to work together, with the potential impact of expanded tariffs, LCI and Furrion have decided that it is in the best interests of their customers that…Furrion will distribute its products directly to the customer and assume all responsibilities previously carried out by LCI.”
"This transition, and the added ability for LCI and Furrion to pursue tailored strategies separately and more effectively given significant changes in global trade, will allow LCI to focus on strategic acquisitions and product development to meet the evolving needs of our customers,” said Jason Lippert, CEO, in the statement.
Aaron Fidler, CEO and president of Furrion, said his company has built up 200 employees in R&D, engineering, and industrial design globally over the last five years. “With a runway of over 87 products due to be launched over the next 12 months and expanding significantly over the next 5 years, we look forward to working directly with the OEM and the aftermarket dealers to ensure that the end user is getting cutting edge, reliable technology at a market leading price,” said Fidler.
The transition includes an option for Furrion to lease LCI’s warehouse and related equipment. In 2017, Furrion opened its Innovation Center and Institute of Technology (ICIT) in Elkhart, Indiana, as its US headquarters.