UGN, Inc., a supplier of high-quality acoustic, interior trim and thermal management products to the automotive industry, plans to expand its operations and manufacturing center in Valparasio, Indiana, creating up to 14 new jobs by 2015.
The a joint venture between Japan-based Nihon Tokushu Toryo Co. Ltd. and Switzerland-based Autoneum, will invest $4.8 million to expand and equip its manufacturing facility in Valparaiso, adding 30,000 square feet to its current 180,000 square-foot operations.
With renovations expected to begin next month, the addition of new business will allow UGN to manufacture automotive parts for the next generation Honda Civic and Subaru Impreza. UGN, which has more than 325 full-time employees in Indiana, plans to begin hiring for manufacturing and technical positions next summer.
“This expansion ensures UGN continues to supply our innovative products to the automotive industry as production continues to grow,” said Peter Anthony, CEO of UGN. “The expansion at our Valparaiso plant is in a central location, and close to our headquarters, and we have a skilled workforce there, which we look forward to expanding.”
With more than $375 million in annual revenue and six locations in the United States, UGN produces dash insulators, engine side parts, carpet systems and seat belt protectors for the Japanese automotive industry in North America.
“The auto industry has found a strong home here in Indiana,” said Eric Doden, President of the Indiana Economic Development Corporation. “UGN’s decision to expand operations in Valparaiso shows why Indiana is a state that works. With our low taxes and highly skilled workforce, companies are free to develop and expand here. When we get down to where the rubber meets the road, companies know what to expect in Indiana—stability, an affordable business climate and unlimited opportunity.”
As an incentive, the Indiana Economic Development Corporation offered UGN, Inc. up to $115,000 in conditional tax credits 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 Valparaiso also approved incentives.