North American Stainless Plans Ghent, Kentucky, Manufacturing Complex
The investment includes a new cold rolling mill, new roll grinders, extensive upgrades of anneal and pickling lines to support the new rolling mill, a new temper mill and the expansion of the melt shop building to add a 400 metric ton crane. The facility will increase the company’s total capacity by 200,000 tons annually, a 20% growth in production.
“We are proud to lead America’s stainless steel economy, support our national security with our production and create great jobs for our region. Our latest expansion will bring more clean, sustainable and American-made stainless to consumers and directly compete with the subsidized imports of stainless,” said Cristobal Fuentes, NAS CEO. “NAS appreciates the steadfast partnership of Kentucky’s federal, state and local leaders who made today’s announcement possible, including Governor Andy Beshear and Sen. Mitch McConnell. Our parent company, Acerinox, one of the largest producers of stainless in the world, was eager to further invest in Kentucky to demonstrate its commitment to our customers and the U.S. market and because our workforce meets and exceeds all goals every year.”
To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in January preliminarily approved a 15-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $2.5 million in tax incentives based on the company’s investment of $244 million and annual targets of: creation and maintenance of 70 Kentucky-resident, full-time jobs across 15 years, and paying an average hourly wage of $36.79 including benefits across those jobs.
Additionally, KEDFA approved North American Stainless for up to $400,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.
“I’m excited to announce more growth in Kentucky’s metals industry with this latest investment from North American Stainless,” noted Governor Andy Beshear. “NAS is a leading stainless steel producer in the United States, and all the company’s production lines are located at the company’s headquarters in Carroll County. I want to thank its leaders for continuing to put their faith in Kentucky’s workforce and investing in the commonwealth. NAS is growing at an incredible rate, with this being the company’s 13th expansion since it was founded in 1990. I look forward to seeing NAS continue to grow and create more opportunities for Kentuckians.”
In addition, NAS can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.
“North American Stainless is an indispensable partner for our community. We are proud to work with the state to support this Kentucky-grown business,” added Carroll County Chamber of Commerce’s Executive Committee.?“As a leading business in Carroll County, NAS has built an incredible operation and encourages new opportunity and a better quality of life for local families every day. We are grateful to Cris Fuentes and his entire team for their commitment to Carroll County.”
As part of the Acerinox Group of companies, NAS is a Delaware general partnership with Stainless Steel Invest Inc. as its managing general partner. Founded in 1990, the company has become the largest, fully integrated stainless steel producer in the U.S., offering a full range of stainless flat including slabs, billets, plate, sheet and strip, as well as long products including wire, rods, angles and rebar.
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