FORT WAYNE, Ind. (WOWO): United Technologies Electronic Controls is planning to relocate its Huntington manufacturing to Mexico.

A company spokesperson says UTEC’s headquarters, engineering and product marketing organizations will remain in the Huntington area. However starting in 2017, work movement will begin moving to Monterrey, Mexico, with completion in 2018. Around 700 jobs will be lost.

UTEC is a global manufacturer of microprocessor-based controls for the heating, ventilating, air conditioning and refrigeration industries.

“This plan is intended to address the challenges we continue to face in a rapidly changing industry, with a continued and steady migration of our OEM customers and competitors to Northern Mexico,” said Alex Housten, managing director, UTEC.

The move is subject to discussions with local union representatives.

“We are aware of the effect on our employees and the community, making this a difficult decision. But after a thorough evaluation of our manufacturing operations, we determined the relocation is the best way for us to remain competitive,” said Housten.

UTEC says it will work with employees, their representatives and the local community to ensure as smooth as a transition as possible. Certain separation benefits, including continued access to the company’s Employee Scholar Program for a period of time, will be available to eligible employees.