1. New Auto Supplier May Employ Up to 350 People
A Canadian auto supplier has selected Fort Payne as the site of its first U.S. manufacturing facility and plans to bring hundreds of jobs to northeast Alabama. Plasman Corp, part of A.P. Plasman Corp. of Windsor, Canada, expects to invest $14 million to $16 million in the plant, which initially will employ 200 people and could ramp up to more than 350 in a few years.
The facility will do plastic-injection molding, painting and assembly of automotive exterior parts and tool repair. Production is slated to begin next year. Plasman, a Tier 1 supplier that works directly with automakers including Nissan, Toyota, Honda and General Motors, said the Fort Payne site puts it closer to customers in the southern United States.
The company is the second automotive supplier for DeKalb County, along with Rainsville Technology Inc., and recruiters are aiming for more. There have been other bright spots, including a distribution center for retailer Children's Place, a project announced in 2007. More recently, copper-windings producer Siemens announced an expansion of its DeKalb County operations.
2. Pyongsan America To Create 100 New Jobs in Auburn
Pyongsan America, Inc. is expanding its operations in Auburn. The Korean auto supplier has outgrown its facility after operating for more than eight years in the Auburn Technology Park North and plans to lease a second manufacturing facility.
Pyongsan plans to invest $5 million in the expansion, and create 100 additional jobs over the next two years. "We are thrilled to be able offer Pyongsan a solution for growth in Auburn,” said Mayor Bill Ham. "Under the leadership of Chairman Bang Soo Lee, and President Francis Yoon, Pyongsan has grown to employ over 100 employees, and plans to double the number of jobs over the next few years. This is great news for our citizens and evidence of the success of our strategy to build a diverse industrial base in Auburn," the mayor added.
Pyongsan America is a supplier with a current focus on air-conditioning and heater core pipe assemblies. With nine facilities globally, Pyongsan has successfully pursued the globalization of its business, and is now serving customers in Asia, North America, and Europe.
3. Alabama Delegation Seeking Trade Opportunities in India
An Alabama delegation traveled to India this week to promote trade between the state and India and to persuade industries to locate facilities in Alabama. The group of 25 delegates represents a range of interests, including power companies, private industries, government and several universities.
India is a part of emerging markets known as BRIC - Brazil, Russia, India and China. "We have been looking at India for quite awhile," said Hilda Lockhart, director of international trade with the Alabama Development Office.
Riley proposes setting up economic development offices in India and China "to take advantage of the growing economies of East Asia." Riley outlined the state's interest in India in Plan 2010, an overlook at the administration's accomplishments and legacy.
In 2009, Alabama exported $161 million worth of commodities and good to India, making it the 17th largest export market for the state. Alabama exports to India increased 63 percent from 2008 to 2009, according to the Alabama Development Office.
4. Rogersville Industrial Park Gets New Industry, Jobs
A manufacturer of recycled paperboard will open a plant at the Rogersville Industrial Park and hire 18 workers. Caraustar, which manufactures recycled paperboard and converted paperboard products, leased a 25,000-square-foot facility that the Shoals Economic Development Authority built in the 1990s to try to attract industry.
Dick Cowart, regional manager for the company, said hiring is nearly completed. "We anticipate starting to get people on board by the end of the week," Cowart said. "We hope production will begin by the end of the month."
Mayor Richard Herston said he anticipates the industry being a long-term fixture. “This is something big for us," Herston said. "It's not just big for Rogersville, but the whole community."
Bart Jackson, SEDA's existing industry coordinator, said the building being leased by Caraustar has been occupied by various firms but has been empty for the past year.” A company like this was the vision when the spec building was built," Jackson said. He said the timing is good, because SEDA is building another spec building - this one 41,000 square feet - at the park. The facility can be expanded to 120,000 square feet.
The operation is part of Caraustar's Tube and Core Division. It manufactures material for businesses such as paper mills or carpet mills, flexible-packaging producers, and tape and label customers.
International Paper's Courtland mill will be a major customer, Cowart said.” With one of our major customers about 15 miles from Rogersville, we'll be here a good, long time," he said.
Cowart said the spec building was a big factor in choosing the industrial park. “This facility was built and ready to go," he said.
5. Auto Glass Maker Opening in Athens
Pilkington North America, of Toledo, Ohio, is opening a new added value site in Athens. The Athens site will supply front door glass assemblies for the Honda Odyssey to the manufacturer’s plant near Lincoln.
“The location will help us to better serve our automotive customers in the Southern region,” said Gregory Thomas, value added general manager North America.
The operation will employ a team of eight to 10 people. The facility will begin hiring in mid-July and regular business hours will begin around that same time period. As an added-value site, the Athens facility will take glass that is manufactured at another location and add glazes and finishes that make it ready to ship to the Lincoln plant, assembly ready.
6. Baldwin Economic Development Alliance Wins National Recognition
The Baldwin County Economic Development Alliance received a national honor recently given by Site Selection Magazine. Site Selection named its 2009 Top Groups and Top Groups Honorable Mention winners at the Industrial Asset Management Council's awards luncheon on April 26 in Colorado Springs, Colorado.
The Baldwin County Economic Development Alliance was recognized as a Top Group at the meeting, which was attended by Corporate Real Estate executives from all over the US. The Alliance was in company with many large metropolitan areas and cities and was the only non-metropolitan area to be recognized for this national award.
The magazine's on-line edition with related articles was made available on May 3, and can be accessed at www.siteselection.com.
Hoerbiger Automotive Comfort Systems has announced the expansion of its Auburn facility by 9,600 square feet to increase its manufacturing capacity.
The expansion of its facilities will create some 25 additional jobs for the company that produces hydraulic systems for power lift gates for five General Motors vehicle models. Hoerbiger, a Germany-based manufacturer, currently employs 125 people at its facility in Auburn Technology Park West.
“This is a great day to announce an expansion in Auburn,” Auburn Mayor Bill Ham Jr. said. “The city of Auburn’s working relationship with Hoerbiger has been excellent through the years.”
Hoerbiger president Erik Olshall said he hopes to see that burgeoning relationship continue well into the future.“This (Auburn) is the place to be,” Olshall said. “This is a great manufacturing climate. We have a dedicated team doing their jobs and a strong group of local suppliers.”
Hoerbiger is making a $500,000 investment in its on-site expansion, according to a company release. Hoerbiger opened its first North American facility in Auburn in 2002. Hoerbiger began construction on the expansion of its new facilities in April and projects completion by the end of July, said Arndt Siepmann, Auburn’s director of industrial recruitment.
8. Huntsville’s Resilient Economy Continues To Make National Headlines
The Rocket City's recession-defying employment picture continues to turn heads. USA Today became the latest national publication to toot Huntsville's horn in a front-page story about America's improving economy.
The article, which ran with the headline "Signs of a Turnaround," noted that the city's unemployment rate has recently fallen from 8.9 percent to 8.4 percent. It also mentioned the ongoing transfer of nearly 5,000 Army jobs to Redstone Arsenal, the planned $1 billion Redstone Gateway office park and extensive renovations to both the Von Braun Center and Huntsville Museum of Art.
Trent Willis, chief of staff for Huntsville Mayor Tommy Battle, called the story "yet another example of the character of our city and the opportunity available for business here.
"Even under the worst economic circumstances since the Great Depression," Willis said Tuesday, "Huntsville has found a way to not only grow, but to be recognized nationally for the diversity of our economy, the strength of our work force and the quality of life our residents enjoy.
Huntsville has become a fixture on lists of the best places to live and work. In March, Moody's Economy.com tapped the Rocket City as America's top spot for job growth prospects. A year ago, Kiplinger's Personal Finance labeled Huntsville the nation's best overall city.
9. After Ten Years, Impact of Honda on Community Unmistakable
LINCOLN — It is hard to believe that Honda Manufacturing of Alabama has been in Lincoln 10 years. But the impact of having Honda in the community is unmistakable. The company recently celebrated a milestone anniversary and has planned a ceremony at the Lincoln plant next week to open a time capsule from the April 25, 2000, groundbreaking and reflect on the past 10 years.
“When I voted on the incentives for Honda, that was the easiest vote I have ever done,” said Kelvin Cunningham, Talladega County Commission chairman. “It was a wise investment and we immediately benefited from the taxes funding education and the county as a whole. Not only are people moving in and making an impact on the economy, they are also spending money in the area on such things as gasoline and retail items. And the county infrastructure has improved since Honda came.”
The benefits Cunningham referred to include employing 1,200 local residents to work in the new plant and contributing $4.5 billion to the economy annually. Honda also pays the roughly 4,500 associates at HMA about $60 million in salaries each year.
According to Talladega County Economic Development Authority Executive Director Calvin Miller, Honda has attracted a total of 38 Tier-1 suppliers since breaking ground. “The personal income per capita in the county rose 7 percent 2000-2006,” Miller said. “That was the highest in the state and the suppliers came with it. I hate to think where we would be had Honda not located here. Honda contributes $4.7 million in school taxes annually, as well as contributing to just about every organization in the county.”
Miller pointed out that Honda chose to handle the economic recession in a different way from its competitors. Instead of closing plants and laying off workers, Honda went to a four-day work week and reduced vehicle production while keeping its employees.
Lincoln Mayor Lew Watson said the development in Lincoln and the surrounding areas has been wonderful, bringing all sorts of infrastructure improvements along with new jobs and revenue. He said developers were hesitant to start anything new when things were still in the planning stage, but once things were official, the Lincoln housing market took off. “Honda led to the largest increase in new housing in Lincoln ever,” Watson said. “We have 20 new subdivisions, experiencing the most significant growth in single-family sales this city has seen. That laid the foundation for future growth such as a brand new water treatment plant with new ultraviolet light technology and widened roads as a tradeoff for the increase in traffic flow. It has meant significant wage increases and benefits for Talladega, Calhoun, Clay, St. Clair and Etowah counties, while putting us on the map in the automotive industry.”
10. Casket Maker To Add 40 People to Shoals Workforce
Thacker Caskets has announced plans for a project that will add about 40 employees to the Shoals area during the next three years.
Thacker moved from Loretto, Tenn., to the Florence-Lauderdale Industrial Park in 2005, said Jim Spinks, vice president of manufacturing. The company employs about 160 workers, most of who live in the Shoals, Spinks said. "So, we'll be over 200 with this project."
Forrest Wright, president of the Shoals Economic Development Authority, said Thacker looked at several communities when the company wanted to expand in 2002 from its Loretto location. Local incentives helped officials decide on the Shoals. Since then, they have added employees and now will add 40 more with the expansion, Wright said.
"Thacker Caskets is a fine example of what you hope inducements create," Wright said. He said construction for the newest expansion begins in June.