Japan-based Riken Elastomers Corp. Invests $7 Million In Hopkinsville, Kentucky, Plant Expansion
Area Development Online News Desk (07/08/2013)
Riken Elastomers Corp, a Japan-based manufacturer of custom plastic compounds for the automotive industry, will invest $7 million to expand operations on Riken Court in Hopkinsville, Kentucky. To add room for three new production lines, the company plans to build a 20,000-square-foot addition to its current facility.
“We are pleased to announce the first expansion of Riken Elastomers Corporation,” said Riken President Gary Kajiyama. “We appreciate the support the city of Hopkinsville and the Commonwealth of Kentucky have given us over the last seven years.”
“This is an exciting expansion for Riken and Hopkinsville,” said Gov. Steve Beshear. “Riken puts great effort in being an outstanding corporate citizen, a key contributor of foreign direct investment and a valuable part of the supply chain within Kentucky’s expanding automotive industry.”
Both the automotive industry and Japanese foreign direct investment play vital roles in Kentucky’s economy, the Governor added. The Commonwealth’s automotive industry employs nearly 80,000 people at more than 450 motor vehicle-related facilities, and there are more than 150 Japanese-owned companies in Kentucky, employing more than 37,000 people.
As an incentive to encourage the investment and job growth in Hopkinsville, the Kentucky Economic Development Finance Authority approved Riken for tax benefits up to $50,000 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.