Global tech and specialty materials company invests $20M to expand prototyping, production lines
FRANKFORT, Ky. (May 15, 2014) – Celanese Corp. (NYSE: CE), a Fortune 500 global technology and specialty materials company, will expand its presence in Boone County.
The company plans to invest $20 million in a new 25,000-s.f. manufacturing and technology innovation hub for its engineered materials business. The expansion will create 10 new jobs.
“Celanese has been producing high-performance engineering thermoplastics at its Florence facility since 1984, providing hundreds of jobs and millions of dollars in capital investment in Northern Kentucky,” said Gov. Steve Beshear. “We’re excited that Celanese chose to build this new and innovative manufacturing facility in Boone County. We welcome this investment and thank the company for providing more jobs for Kentuckians.”
Celanese-engineered materials are used in most major industries, including automotive, consumer products, medical and industrial applications. The Boone County campus, off Dixie Highway, is home to the company’s research and development center and manufacturing business. The state-of-the-art facility also houses innovative technology and laboratories and scientists for the engineered materials, emulsion polymers, cellulose derivatives and EVA polymers businesses.
“Our manufacturing facility in Northern Kentucky is a center for innovation that drives research and development and the advancement of high performance engineered materials,” said Phil McDivitt, vice president and general manager of the Celanese engineered materials business. “In addition to critical design and engineering support, we provide our customers with technical expertise throughout the product development cycle. This expansion and investment in new prototyping and full-scale production lines will help us better serve our customers around the world, align our manufacturing capability and improve operational efficiency.”
The Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved the company for tax incentives up to $300,000 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.
KEDFA also approved the company for tax benefits up to $100,000 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.
“Celanese has found success in Northern Kentucky because of our region’s central location and talented workforce,” said Steve Pendery, Northern Kentucky Tri-ED executive board member and Campbell County Judge/Executive. “I congratulate Celanese and thank them for their commitment to our community. Celanese has a skilled, high-tech workforce that it is increasing with new, well-paying jobs in a technically advanced manufacturing facility. This is exactly the type of growth that Northern Kentucky Tri-ED is working to foster in our region.”