KY: Gov. Beshear Announces Aichi Forge USA to Expand Scott County Plant, Add 26 New Jobs
13 Jan, 2012
Japanese steel parts supplier to invest $5.5 million, diversify product market
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FRANKFORT, Ky. – Governor Steve Beshear recently announced Aichi Forge USA Inc. will expand its Georgetown plant, adding 26 new jobs at its only U.S. operation.
Aichi Forge is a large steel forging manufacturer primarily serving the automotive and truck market. The company’s $5.5 million investment will allow the company to diversify its current market to further expand into the heavy truck and transmission applications.
“It is always rewarding when a longstanding corporate citizen continues to invest in its Kentucky facility and workforce,” Gov. Beshear said. “Aichi Forge’s expansion is a great example of how the right business climate, workforce, incentives and company goals have combined to bring 26 new jobs and a multi-million dollar investment to Georgetown.”
Located at 596 Triport Road, the Aichi Forge plant currently employs 204 people. New equipment and plant updates will also be part of the company’s expansion plans. The project is expected to begin in February with completion by the end of the year.
“We are pleased to continue to grow our company here in Georgetown, Kentucky,” said Martin R. Essig, executive vice president of administration, engineering & quality for Aichi Forge USA. “The incentives and support from the Cabinet for Economic Development help to make that possible. We welcome continued legislation that supports a business friendly environment.”
To encourage the investment in Georgetown, the Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved the company for tax incentives up to $250,000 through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
KEDFA also approved Aichi Forge for tax benefits up to $60,000 through the Kentucky Enterprise Investment Act. This incentive program allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing equipment.
“Aichi Forge is an excellent company providing well-paying jobs in Scott County,” said Sen. Damon Thayer, of Georgetown. “I am pleased that the company has been approved for this incentive and hope it helps them create even more jobs.”
“Since Aichi Forge moved to Georgetown in 1996, they have been a tremendous asset to our community and our local economy,” said Rep. Ryan Quarles, of Georgetown. “Today’s announcement is not only a sign that Kentucky’s automotive and automotive component industry is alive and well, but that the industry continues to grow and expand in our Commonwealth. I applaud Aichi Forge’s continued confidence in Georgetown, Scott County and the people who work and live in my district.”
“While Aichi Forge is not in the city limits, we are extremely proud of their decision to expand their existing operations and, thereby, serve a number of employees who are residents of the city of Georgetown,” said Georgetown Mayor Everette Varney.”
“The Scott County Fiscal Court was more than pleased to have participated with Aichi Forge in their announced $5.5 million expansion and creation of an additional 26 employees,” said Scott County Judge-Executive George Lusby. “The expansion of this quality Scott County company confirms our priority to assure our existing companies that this is the best place to do business.”
For more information on Aichi Forge USA, visit www.aichiforgeusa.com.
Information on Kentucky’s economic development efforts and programs is available at www.ThinkKentucky.com. Fans of the Cabinet for Economic Development can also join the discussion on Facebook at www.Facebook.com/ThinkKentucky or follow on Twitter at www.Twitter.com/ThinkKentucky.
A detailed community profile for Georgetown (Scott County) can be viewed at http://thinkkentucky.com/EDIS/cmnty/index.aspx?cw=054.