Two local companies plan to expand this year to help meet increased demand for their products and to improve efficiency in their operations.
With that growth comes about 60 new jobs and the potential need for even more hiring, officials said.
On Monday, the Seymour City Council approved requests from Seymour Tubing and Aisin USA for tax abatements on investments totaling $14.59 million.
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Aisin is looking to spend $12.69 million to purchase new machinery and production equipment for its facility on East Fourth Street in the Eastside Industrial Park. Another $1.08 million will be spent at Plant 2 on Burkart Boulevard, according to statement of benefit documents the company has filed with the city.
The new equipment will allow the company to manufacture components including door frames, seat adjusters, armrests and sunroofs for new vehicle models including the Lexus ES, Lexus RX330 and the Honda Odyssey.
Jim Plump, executive director of Jackson County Industrial Development Corp., spoke on behalf of both companies in requesting tax abatements for a period of 10 years. He provided brief details of the projects and how the city would benefit.
Plump said Aisin’s investment not only will allow the company to retain the current number of employees at Plant 1, which stands at 1,200, but also will create jobs.
“They are projecting an additional 54 new jobs with annual salaries of over $2.8 million,” Plump said.
Aisin is the county’s largest industrial employer, according to the development corporation.
A similar but smaller project at Plant 2 will add five positions to the current 391 workers, he added.
Both projects are expected to begin in May and be completed by mid-2017.
Seymour Tubing’s investment is not expected to create new positions right now but will help the company retain its 495 employees.
The company, the county’s fourth-largest industrial employer, plans to invest $814,000 to build a 72-by-128-foot long-tube storage building and a 34-by-16-foot lean-to structure to hold a flatbed tractor trailer so that loading of products can take place entirely indoors.
“They are looking at an expansion to their existing facility just shy of 10,000 square feet,” Plump said.
Construction has begun on the storage building and should be finished by the end of June.
When complete, the buildings will improve product flow at the factory by decreasing handling time and greatly improve safety by removing the loading process from high-traffic areas, Plump added.
Seymour Tubing also is located on East Fourth Street at the main entrance to Eastside Industrial Park. The company manufactures automotive carbon and stainless steel tubing components.