PON Group to close CSG UK business unit

Over the past week CIN has been informed by a number of different industry sources that PON Group plans to close the Poole, UK, based CSG operation.

The news comes at a time when the wider industry is undergoing extensive restructuring, responding to a complex and multifaceted challenge. A combination of industry overstock, economic headwinds, and Brexit, have resulted in a host of brands reassessing how they service the UK as a market.

One well placed industry source has highlighted that bike brands Mongoose and Schwinn are understood to be withdrawing from the UK market, as part of the realignment of the business. The move to close CSG Poole will result in a to be confirmed number of redundancies.

Closing UK based business units (distributors / distributions hubs) is now a growing phenomena, with a number of global brands and businesses deciding to employ UK staff, as remote workers, hired direct by the parent company. With the UK cycling landscape looking increasingly different from other European markets, this news is best reflected in the recent announcement from Cannondale of a new eBike being launched in Europe, but not in the UK.

CIN has reached out to CSG UK for comment.