The US subsidiary of Japan-based Hitachi Powdered Metals Ltd., a powdered metal components supplier, plans a $38.4 million expansion of its manufacturing plant in Greensburg, Indiana, creating up to 60 new jobs during the next two years.
Hitachi Powdered Metals USA, Inc. construct and equip a second facility on its 30-acre campus in Decatur County. The new 128,000 square-foot plant, which is slated to be operational in August 2013, will house compacting presses, sintering furnaces, lathing and machining center work cells, heat treating equipment and office space.
The firm manufactures precision-made valve guides, gears, sprockets and pullies for automotive companies including General Motors, Ford, Honda, Toyota and Nissan. Its Greensburg location is the company’s only powdered metal operation in the United States. The company, which currently employs 156 full-time workers in Greensburg, is hiring additional manufacturing, engineering, maintenance technician and production associates.
“Hitachi Powdered Metals USA continues to be a leader in powdered metal technology as we expand our reach into the North American automotive market,” said Greg Owens, vice president of Hitachi Powdered Metals USA. “During the site selection process, Greensburg city leaders were very supportive throughout, as were our local and state economic development corporations. All were instrumental in our decision to expand in Greensburg.”
Governor Mitch Daniels said, “Hitachi Powered Metals USA’s decision to increase its footprint in Indiana despite global economic challenges is the latest proof that we have done the right things to attract business investment. Preserving the low-tax, pro-growth Hoosier business climate is key to keeping jobs like this coming.”
As an incentive, the Indiana Economic Development Corporation offered Hitachi Powdered Metals up to $275,000 in conditional tax credits and up to $150,000 in training grants based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. In addition, the city of Greensburg approved additional property tax abatement at the request of the Economic Development Corporation of Greensburg-Decatur County.