Japan-Based Sumitomo Electric Wiring Systems Begins Construction Of Lexington, Kentucky Operations Center
A leading supplier of wire harnesses, components and electronics to the automotive industry, the company is expected to create up to 10 new jobs and invest nearly $8.5 million into the project. The expansion also will allow the company to retain more than two dozen employees and provide work for many suppliers in the area.
Sumitomo Electric Wiring Systems will construct its facility on Remington Way, off Citation Boulevard. The company’s two current operations in Lexington – one in the Bluegrass Business Park and the other on Baker Court – will be consolidated into the new facility. The center will nearly double the company’s Lexington footprint, which will allow for better service to its just-in-time customers and ample space for future growth.
“In addition to the area’s strong and talented workforce, the proximity to key automotive customers provides a strategic location so that we can continue to grow our operations,” said Masayoshi Fuse, President of Sumitomo Electric Wiring Systems Inc. North America. “Without the generous support from the state, our local government and community, today would not have been a reality. We’re excited to be growing towards our goal of being the leading wire harness supplier in North America.”
The company plans to move its current Lexington operations and its 28 employees to the new 30-acre site by the end of the year. Sumitomo Electric Wiring Systems considered moving the operation to another state, but ultimately decided Kentucky was the best fit for the company’s future.
To encourage the investment and job growth in Fayette County, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $225,000 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.
“For 30 years, Sumitomo Electric Wiring Systems has been a tremendous corporate partner and source of good-paying jobs in Kentucky,” said Governor Steve Beshear. “I want to thank the company for its continued investment and for helping the Commonwealth become one of the nation’s key players in the global automotive industry.”
“Employers like Sumitomo help keep our local and regional economy strong,” said Lexington Mayor Jim Gray. “After outgrowing its current facilities, the company saw the benefit of staying and continuing to add jobs in Lexington, which speaks to the value of our workforce and high quality of life.”
“Sumitomo has created an outstanding economic impact on our city and region,” said Bob Quick, President/CEO of Commerce Lexington Inc. “The new investment and added jobs are greatly appreciated by our economic development team, and we have enjoyed working with the international company from the first day they located in Lexington. Congrats to Sumitomo on its expansion.”
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