Plastikon Invests $10.3 Million To Expand Its Leitchfield, Kentucky, Manufacturing Plant
The company plans to purchase additional land and equipment, and more than double its Commerce Drive facility from 90,000 square feet to 190,000 square feet.
“Plastikon is proud to continue its expansion in the Leitchfield area,” said Guiv Soofer, Vice President of Plastikon. “The company is committed to producing world-class automotive and decorative products while continuing to meet and exceed our customer expectations. We have an impressive team and look forward to future expansion opportunities in Kentucky.”
The firm has two facilities in Leitchfield and began operations in Grayson County in 2006 with 20 employees. It has since grown to more than 200 full-time employees with annual sales of over $30 million. The Commerce Drive facility opened last year. This expansion will help support new business growth.
To encourage the investment and job growth in Leitchfield, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $1 million through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets. KEDFA also approved Plastikon for tax benefits up to $150,000 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.
Plastikon and its subsidiary, Inplast Industries USA LLC, operate nine facilities throughout the world providing plastic products to the automotive, medical and consumer sectors.
“This is our third project with Plastikon since 2007, which is a great indicator of the strength of Kentucky’s economy and the growth we are seeing in the automotive sector,” said Governor Steve Beshear. “I am thrilled to celebrate with the company again as it expands operations in Grayson County and invests in Kentucky families.”
Why are Foreign Trade Zones Making a Comeback?
The New Normal in the Automotive Supply Chain
2020 Auto/Aero Site Guide
34th Annual Corporate Survey & the 16th Annual Consultants Survey
Infrastructure Investment as an Economic Stimulus Tool
2019 Top States for Doing Business: Georgia Ranks #1 Sixth Year in a Row
Nondisclosure Agreements Best Practices When Negotiating Incentives