Borusan Mannesmann Pipe will invest $148 million to expand its manufacturing operations to the U.S. with a steel pipe plant in Baytown, Texas, creating 250 jobs.
Headquartered in Turkey, Borusan Mannesmann is a global leader in steel pipe production for a variety of industries, including oil and gas drilling and transmission, with current production of around one million tons of pipe products. The Baytown facility will produce casings used to secure oil wells and tubing to extract gas and oil from the ground, adding 300,000 tons of manufacturing capacity.
"This investment will establish Borusan as a local manufacturer in the U.S. market," Borusan Chairman A. Ahmet Kocabiyik said. "This investment is the beginning of a new era, not only for economic relations between the U.S. and Turkey, but also for our steel sectors. I would like to extend our sincere appreciation to the Texas Governor's Office for their immense support during and after the decision making process."
As an incentive, The Lone Star State is providing $1.6 million through the Texas Enterprise Fund to close the deal on this project.
"Texas continues to be a leader in energy production, supplying not just the oil and gas that fuel our cars, homes and businesses, but also the products and workforce necessary to support domestic drilling in the U.S.," Gov. Rick Perry said. "With the help of competitive incentives like the TEF, Texas continues to attract employers from across the country and around the world to expand within our borders, creating jobs and opportunity and further strengthening our economy."