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Novelis Begins Construction of Guthrie, Kentucky, Automotive Aluminum Sheet Manufacturing Plant

05/15/2018
Novelis Inc., the world leader in aluminum rolling and recycling, started construction on its $300 million, 400,000 square foot, automotive aluminum sheet manufacturing facility in Guthrie, Kentucky.

The plant, which is expected to start production in 2020, will create approximately 125 jobs and produce annual nameplate capacity of 200,000 metric tons. The facility will include heat treatment and pre-treatment lines, which prepare aluminum for use in vehicle parts such as body-in-white, hoods, doors, lift gates and fenders.

"The increased adoption of aluminum in cars, trucks and SUVs, coupled with more automotive manufacturing plants in the southeast makes Guthrie a strategic location to serve our customers," said Steve Fisher, President & CEO, Novelis Inc. "With the strong, highly-skilled workforce in Kentucky, we believe our culture and commitment to building a sustainable world together will have a lasting and positive impact on this community."

Novelis is a subsidiary of Hindalco Industries Limited, an industry leader in aluminum and copper, and metals flagship company of the Aditya Birla Group, a multinational conglomerate based in Mumbai, India.

According to company officials, significant positive impact of tax reform in the U.S. reinforces Novelis' decision to expand at this time. A favorable economic environment has enabled Novelis to recently finalize key contracts totaling approximately $60 million for engineering plans, site preparation and state-of-the-art equipment for the greenfield facility.

Paul Banks, a 25-year veteran of the aluminum rolling industry, will oversee the project as Plant Manager, having previously served as Unit Manager at Logan Aluminum, a Novelis joint venture in nearby Russellville, Kentucky. The company employs 1,260 people in the state, accounting for more than $146 million in wages and benefits each year. In addition to Logan Aluminum, Novelis also operates an aluminum beverage can recycling plant in Berea, Kentucky.

Senator Mitch McConnell said, "I am proud that Novelis has chosen to reinvest in our people and our Commonwealth by breaking ground on this new facility. It's a prime example of the good news we're hearing from across Kentucky and the country since Congress passed historic tax reform last year. Today's ground breaking exemplifies the remarkable promise ahead."

"I was thrilled to join Novelis as they expand operations and create new high skilled jobs in Kentucky. I look forward to continuing my efforts to promote pro-growth tax reform legislation and policies to help manufacturing companies like Novelis thrive and grow," said Senator Rand Paul.

"How fortunate for us to be part of this incredible global company. These are the kinds of investments that are transforming Kentucky and transforming the industry," said Governor Matt Bevin. "My vision for this state is simple, and that is, that we will be the center for engineering and manufacturing excellence in the United States of America. If we can go all the way down the supply chain, not just to fabricate materials but to roll those materials, to smelt those materials, to slit those materials, whatever the case might be, to get those materials to market; these are the kinds of things that are going to transform the state. And that's exactly what we're doing. Western Kentucky is primed for growth."

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