Peloton to Invest $400 Million to Build Ohio Assembly Plant
TROY TOWNSHIP, OH—Peloton will invest $400 million to build its first U.S. assembly plant here to speed up production and delivery of its exercise bikes and treadmills.
Construction of the 1 million square foot factory is expected to begin later this summer, and the facility should be up and running by 2023. At capacity, the plant could employ more than 2,000 people.
“We had planned to do this for years, but I think the pandemic put an exclamation point on why it’s going to be awesome,” says Peloton co-founder and CEO John Foley. “Having more flexibility in running a global supply chain is also going to allow us to sleep better, as you can imagine.”
Peloton currently assembles its products at third-party facilities in Asia. Faced with heightened consumer demand during the COVID pandemic, the company has run into lengthened delivery delays that have frustrated consumers and investors.
The company also acquired fitness manufacturer Precor for $420 million, gaining manufacturing facilities in North Carolina and Washington. Peloton expects to assemble its Bike and Tread machines in these factories by the end of the year.
Consumers will be able to visit the Ohio facility to see the cycles and treadmills being made, the company says. The site will also have a fitness center for its workers.
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