Japan-Based INOAC Group Upgrades Springfield, Kentucky, Manufacturing Plant
The investment in new equipment and technology and building upgrades at the facility on Industry Drive comes in response to new business to supply products for Ford’s Kentucky Truck Plant in Louisville. Currently, INOAC employs more than 330 people at the Springfield plant. The expansion is scheduled for startup in the fall of 2022.
“INOAC is excited to continue our strong relationship with Ford and the Kentucky Truck Plant with this significant investment. This project will support our continued growth in this region, building on our longstanding relationship with Ford and the Springfield community,” said Roger Dawes, president of INOAC Group North America.
To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in October preliminarily approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $550,000 in tax incentives based on the company’s investment of $13.7 million and annual targets of creation and maintenance of 49 Kentucky-resident, full-time jobs across 10 years; and paying an average hourly wage of $25 including benefits across those jobs.
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. In addition, INOAC 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.
“We are experiencing tremendous economic growth throughout the commonwealth, and it is great to see INOAC add to that momentum with this expansion of its Springfield facility,” Governor Andy Beshear said. “The addition of nearly 50 well-paying jobs in Washington County is great news for the community and Kentucky’s rapidly growing automotive industry.”
INOAC Group North America manufactures thermoset, thermoplastic, elastomeric and emerging material products. The company produces interior products for automotive customers such as Ford, Toyota and Honda. Products include instrument panels, interior trim, armrests, headrests, noise, vibration and harshness (NVH) components and seat cushioning. INOAC also manufactures materials for the packaging, consumer products, medical, electrical, construction, industrial machinery and IT equipment markets.
“INOAC brings quality and expertise to everything they do, which is why they are a global leader across a variety of fields in manufacturing and innovation,” said Daniel Carney, executive director of the Springfield-Washington County Economic Development Authority. “We are blessed that they not only call Springfield home, but that they continue to invest and grow in this community.”
The company is a subsidiary of Japan-based INOAC Corp., which operates throughout Asia and North America. Currently, nearly 200 Japanese-owned manufacturing, service and technology-related facilities operate in the commonwealth, employing approximately 47,000 Kentucky residents.
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