Wednesday, 12 19, 2012
Japanese-owned spring manufacturer to invest more than $19 million
FRANKFORT Ky. – Governor Steve Beshear today announced NHK Spring Precision of America Inc. (NHK Louisville) plans to expand operations in Louisville. The company plans to add 50 new, full-time jobs and invest more than $19 million in the Commonwealth.
“NHK Louisville continues to be a wonderful corporate citizen in the Commonwealth, and we’re thrilled to see 50 new jobs and a $19 million investment on the way,” said Gov. Beshear.
NHK Louisville is a subsidiary of Japanese-owned NHK Spring Co. Ltd., the largest spring manufacturer in the world. The company manufactures springs for automobiles, industrial machinery and hard disk drives.
Located in Louisville since 2005, NHK currently has more than 80 employees. The company plans to complete construction in the summer of 2013 on a new, 57,000-square-foot facility, which will expand operations for the existing 93,000-square-foot plant. The expansion will provide major automotive manufacturers with goods and services worldwide.
“Kentucky, as well as the Louisville area, has become a major location for automotive suppliers with the close proximity of engine and assembly plants in and around the Commonwealth,” said Tomoyuki Chino, president and COO of NHK Spring Precision of America. “NHK Spring Precision of America would like to thank the great Commonwealth of Kentucky for all its support. I would like to give a special thanks to our employees, without you this expansion would not have been possible.”
NHK’s expansion is yet another success for Kentucky’s thriving auto industry, which boasts more than 440 motor vehicle-related facilities with almost 72,000 employees. Kentucky is also home to more than 420 foreign-owned companies from 30 nations, including more than 155 facilities with Japanese ownership. On a per capita basis, Kentucky has the second highest Japanese foreign direct investment in the country.
“This is an exciting investment by NHK Louisville,” said Sen. Perry Clark, of Louisville. “Our city will reap the benefits of new jobs, economic growth and development. NHK Louisville’s decision to expand its operations here also speaks well of our workforce. I applaud Gov. Beshear for taking the lead to support this industry, their employees and their families.”
“NHK has been a great corporate partner here in our community, so this major expansion is certainly good news,” said Rep. Charles Miller, of Louisville. “This will further solidify Louisville’s reputation as an ideal location for companies in the automotive industry.”
“We welcomed NHK to Louisville in 2005, and knew they had exciting plans for their future here,” said Louisville Mayor Greg Fischer. “It is a sign of their confidence in the market, in our community, and their product, that they are now expanding in a big way.”
“Kentucky’s geographic location and density of major automotive OEMs provides a unique advantage for auto suppliers like NHK,” said Eileen Pickett, vice president of economic development for Greater Louisville Inc. “NHK’s expansion will allow them to continue to thrive and grow their relationships with OEMs throughout North America, as those firms continue to push for more domestically-based supply chains.”
To encourage the investment and job growth in Louisville, the Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved the company for tax incentives up to $1 million 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 NHK Louisville for tax benefits up to $100,000 through the Kentucky Enterprise Initiative Act, which 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.
For more information on NHK Louisville, visit http://www.nhkspg.co.jp/eng/corp/index.html.
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 Louisville (Jefferson County) can be viewed at http://www.thinkkentucky.com/EDIS/cmnty/index.aspx?cw=091.