Greg Canfield Archives - Page 5 of 9

Hyundai announces expansion project in Alabama

One car manufacturer has announced expansion plans in Alabama, Gov. Kay Ivey said. The governor announced Tuesday afternoon that Hyundai Motor Manufacturing Alabama will begin construction of a hybrid version of the Santa Fe along with the Electrified Genesis GV70 sport utility vehicles at its Montgomery factory. The company, according to the release, is expanding its production in the United States to include electric vehicles. “Over the years, we have developed an enduring partnership with Hyundai, and it’s been great to witness the profound economic impacts of the company’s continued investments in Alabama,” Ivey said in the release. “Hyundai’s new growth plans in Montgomery will help prepare the state’s auto industry for the EV revolution while also aligning with our strategic initiatives such as Drive Electric Alabama.” Hyundai, according to the release, is investing $300 million in the project and will create 200 new jobs at its lone U.S.-based production facility. The company recently signed a project agreement with Ivey. Hyundai President and Chief Executive Officer Jose Munoz announced earlier Tuesday, according to the release, that the Alabama assembly plant would be producing electric vehicles. Under the project, Hyundai will perform plant expansion projects that will provide additional warehouse space and provide assembly processes that will be enhanced to produce electric vehicles. The company plans to begin production on the Santa Fe Hybrid in October and the Electrified GV70 in December. “Hyundai Motor Company is taking its first steps in electric vehicle production in the United States,” Ernie Kim, HMMA’s president and chief executive officer, said in the release. “We are excited to showcase our team members’ skills in producing electric vehicles here in Alabama.” According to the release, the two new vehicles join the company’s roster being produced at the facility that includes the Elantra, Santa Fe, Tucson SUV, and the Santa Cruz sport adventure vehicle. Greg Canfield, who serves as secretary of the Alabama Department of Commerce, said the company’s shift to producing electric vehicles at the plant shows the future of the automotive industry. “With this EV expansion, Hyundai is again demonstrating that Alabama’s auto sector is concentrating on what the future holds for the industry and that it will continue to evolve to meet all challenges,” Canfield said in the release. “This is an exciting development both for Hyundai and for our dynamic automotive manufacturing sector.” Hyundai, according to the release, has invested more than $1.8 billion in its Alabama facilities and currently employs more than 3,200 full-time workers. According to the release, the Electrified G70 is designed as a luxury SUV, featuring a new design and driver-oriented technology. The Santa Fe Hybrid would match versatility with fuel efficiency. Republished with the permission of The Center Square.

Niagara Bottling to build $112M production plant, to hire 50

Niagara Bottling is planning to open a new $112 million production facility in Alabama and hire 50 employees. The California-based company will locate a bottling plant in the Northeast Opelika Industrial Park along Interstate 85. Gov. Kay Ivey announced the move Wednesday, calling it a “testament to Alabama’s strong business climate and the many advantages we can offer companies looking to energize their growth plans.” Alabama Commerce Secretary Greg Canfield called the company a great addition to the state’s business community, al.com reported. “The top-level priorities of Alabama’s economic development team are creating meaningful job opportunities for citizens around the state and bringing in new investment to invigorate communities,” Canfield said. “We look forward to seeing Niagara Bottling grow and thrive in Opelika because that perfectly aligns with our strategic economic development objectives.” Niagara Bottling has been family-owned and operated since 1963, with bottling facilities in the U.S. and Mexico. It offers bottled purified, distilled and spring water, water for infants, sparkling water, flavored vitamin water, and tea. “We value the highly competitive and attractive combination of location, infrastructure, logistics, and workforce in Opelika,” said Brian Hess, an executive vice president at Niagara Bottling. Opelika Mayor Gary Fuller said it is “truly an honor when an industry chooses to invest in our community.” “We are glad to assist Niagara Bottling in their continued success,” Fuller said. Republished with the permission of the Associated Press.

Apparel company, Bella+Canvas, bringing 557 jobs to vacant Alabama plant

A Los Angeles-based apparel company plans to take over part of a shuttered Alabama textile plant and bring in hundreds of jobs, state officials said. Gov. Kay Ivey’s office this week said the state is leasing to Bella+Canvas a part of the 890,000-square-foot building in Wetumpka that’s been vacant since Russell Brands left in 2013, The Montgomery Advertiser reported. Bella+Canvas plans to use the space for what Ivey’s office called an “advanced fabric cutting facility,” investing $11.9 million and creating at least 557 jobs. The facility will be modeled after the company’s current location in Los Angeles, which uses proprietary software and tables to cut about 3 million garments a week while employing 1,000 workers. Bella+Canvas produces a range of clothing for retail and wholesale. Founders Danny Harris and Marco DeGeorge started the company as a screen-printing business in 1992 before expanding into a cut-and-sew operation and introducing new fabrics and fashion lines. “After a comprehensive search, we ultimately concluded that our new location in Wetumpka, Alabama, was not only optimal to enhance our manufacturing footprint and technologically advanced operations levels, but also ideal in terms of support from the local government and access to great new team members,” Bella+Canvas President Chris Blakeslee said in a statement. The state said jobs will include spreaders, general cutting laborers, forklift operators, shipping and receiving clerks, and administrative staff with an average annual wage of $46,000. State job training agency AIDT is helping the company with training and onboarding workers. “This is a state-of-the-art facility, designed to be highly efficient with precise processes, and I know our capable workforce will help make it successful,” Alabama Commerce Secretary Greg Canfield said in a statement. The state did not announce a timetable for the plant opening. Republished with the permission of the Associated Press.

Kay Ivey announces $176.5 million expansion project at Mobile area facility

Gov. Kay Ivey announced today that the German specialty chemicals company Evonik is launching an expansion project at its Mobile area manufacturing facility. The project aims to bolster its animal nutrition business line while also reducing the site’s carbon footprint. The new plant will produce methyl mercaptan, which is used to manufacture its MetAmino (DL-methionine) product. Methionine is utilized in livestock farming to feed animals in a healthy, efficient, and sustainable manner. Evonik plans to invest $176.5 million in the Theodore, Alabama expansion project, which will be completed in 2024. “Evonik was one of the first German companies to set up an operation in Alabama, and it’s great to see that its Mobile plant is once again playing a central role in this world-class company’s global growth plans,” stated Ivey. “The significant investment Evonik is making in Alabama will not only solidify its industrial presence in Mobile but also allow us to continue to build on this long-standing partnership.” “In the market, we stand for quality, superior supply reliability, and a high level of safety and technology standards in our assets,” said Dr. Emmanuel Auer, head of Evonik’s Animal Nutrition business line. “The backward integration in Mobile eliminates transportation of hazardous chemicals and shows our continued commitment to responsible care and business sustainability.” Evonik said the investment also aligns with the division’s sustainability strategy by reducing the carbon footprint of DL-methionine from Mobile by about 7%. More than 25,000 metric tons of CO2 equivalents can be saved each year. “This project was made possible by the pro-business environment in Alabama and the cooperation of the Governor’s Office, Alabama Department of Commerce, Mobile County, City of Mobile, and Mobile Area Chamber of Commerce,” said KelBoisvert, vice president and site manager for Evonik in Mobile. Greg Canfield, Secretary of the Alabama Department of Commerce, welcomes the project. “Because Evonik’s culture stands firmly on values such as innovation and sustainability, it is exciting to see the company launch another expansion project at its Mobile facility,” said Canfield. “I’m confident that this investment will become a building block for even more future growth for Evonik in our state.”

Kay Ivey announces surging 2021 exports, surpassing pre-pandemic levels

Today, Gov. Kay Ivey announced that Alabama’s exports in 2021 surged more than 20% in value compared to the previous year. This means exports have surpassed pre-pandemic levels. New federal government figures show that Alabama’s exports of goods and services totaled nearly $20.9 billion last year, above the 2019 total of $20.8 billion. 2021 exports increased more than 21.8% from the 2020 total. Many key export categories showed robust growth last year. “We are very pleased to see that our optimism at this time a year ago was well-founded. Alabama’s export numbers in 2021 exceeded those of 2019,” stated Ivey. “This is a promising sign that demand for Alabama-made goods and services remains strong and that Alabama has an integral role to play in the worldwide recovery.” Ivey stated on Twitter, “I’m very pleased to announce Alabama’s exports in 2021 surged more than 20% in value compared to the previous year, surpassing pre-pandemic levels and indicating the underlying resilience of the state’s economy.” Alabama businesses exported to 189 countries in 2021, with the top five destinations being Germany, Canada, China, Mexico, and South Korea. Rounding out the 10 top destinations for exports were Japan, Belgium, the United Kingdom, Australia, and Brazil. Transportation equipment, the state’s No.1 export, jumped 25.8% to reach $10.35 billion, beating the total for 2019. Overseas shipments of Alabama-made motor vehicles rose by 38.4%, while exports of ships and boats jumped 40% last year. “It is critical that we build on the successes of 2021 in order to keep the momentum going,” said Greg Canfield, Secretary of the Alabama Department of Commerce. “The impressive growth in exports of motor vehicles, iron and steel products, in addition to machinery, plastics, and forestry products shows that Alabama is well-positioned to meet the demands of overseas buyers in a wide variety of sectors.” Alabama ranked No. 24 among the states in export volume for 2021, moving up from No. 25 in 2020.

Airbus Alabama facility in line to build tanker aircraft with Lockheed Martin

The Airbus manufacturing facility in Mobile is poised for potential growth, thanks to plans announced Monday by the aerospace company and Lockheed Martin to collaborate on a refueling tanker aircraft if the partners win an Air Force competition. In a news conference at its Alabama facility, Airbus said it would begin building A330 aircraft in Mobile that would be converted into a tanker outfitted for military use at Lockheed Martin’s plant in Marietta, Georgia. Lockheed Martin — which also has a major presence in Alabama — provided details in an announcement released Monday morning. The tanker aircraft, called the LMXT, would represent a significant new chapter for the Alabama Airbus facility, where the company builds A320 and A220 passenger jets. The $1 billion factory at the Mobile Aeroplex at Brookley employs about 1,000 people. “Establishing this production work in Alabama and Georgia confirms Lockheed Martin’s commitment that the LMXT will be built in America, by Americans, for Americans,” said Lockheed Martin Chairman, President and CEO James Taiclet. “The LMXT will strengthen global security by enabling our U.S. service members to carry out their most critical missions at extended ranges. “At home, the LMXT will strengthen job growth and manufacturing by drawing on the experience and talents of a high-tech American workforce in two states that are proven leaders in aviation,” he said. Lockheed Martin and Airbus plan to compete for a new contract from the Air Force for aerial refueling tankers as part of a competition set to begin later this year. “Today’s announcement further cements Alabama’s reputation for excellence in the aerospace industry,” Gov. Kay Ivey said. “We have a world-class workforce making Mobile a top city for manufacturing and innovation, and we are excited to welcome the Lockheed Martin LMXT to Brookley. “This state-of-the-art aircraft is the right plane for the war fighter, and we’re thrilled to have it built in Alabama.” Ivey joined Airbus officials and local leaders at the announcement ceremony at the Brookley facility. Lockheed Martin scheduled a formal announcement at its Georgia facility later in the day. “This partnership between Lockheed Martin and Airbus brings together two titans in the aerospace/aviation sector,” said Greg Canfield, secretary of the Alabama Department of Commerce. “It also heralds a new shared synergy in the military aviation space between the state of Alabama and the state of Georgia as Airbus will assemble the well-proven A330 jet aircraft in Mobile and Lockheed Martin will militarize the jet, transforming it into the LMXT. “From the Alabama perspective, this signifies the potential of a significant expansion of Airbus’s activities in Mobile and could elevate Alabama’s critical role in our national defense,” Canfield said. For France-based Airbus, Monday’s announcement represents its second attempt to provide the Air Force with an aerial refueling tanker, made in Mobile. In 2011, Airbus was part of a winning team for the first phase of the contract, but the decision was reversed and the contract awarded to Boeing. Airbus later began producing passenger aircraft at the Brookley site. Its tanker aircraft, based on the A330-200, has been ordered by NATO, Australia, France, the United Kingdom, and several other nations. “Over our 50-year history in the U.S., some of our proudest moments have come from supporting our American service members,” said C. Jeffrey Knittel, chairman and CEO of Airbus Americas. “Our U.S. workforce, which is more than 35% military veterans, is eager to see an Air Force tanker join the fleet of Airbus aircraft flying for the U.S. Army, National Guard, Navy, and Coast Guard.” Bethesda, Maryland-based Lockheed Martin’s presence in northern Alabama spans more than five decades, with a concentration in the rotorcraft and hypersonics sectors. More than 2,600 Lockheed Martin employees live and work in Alabama. In October, Lockheed Martin opened an advanced production facility in Courtland focused on hypersonic strike production. Our LMXT offering for the @usairforce will be built in Georgia and Alabama and extend our 60+ year history of delivering tankers to U.S. and global operators. Watch for more on how our proven, ready solution will fuel future missions. pic.twitter.com/jdtgGPrlEV — Lockheed Martin (@LockheedMartin) January 31, 2022 “Alabama Power was involved in supporting the original tanker project that unfortunately never came to fruition,” said Alabama Power Mobile Division Vice President Patrick Murphy. “Over the last 10 years, Alabama Power has partnered with the Alabama Department of Commerce and Team Mobile to strategically support the growth of Airbus and its supplier base. Alabama Power’s Mobile Division and our corporate Economic Development group have worked steadily to lay the framework for Airbus and Lockheed Martin to be successful in this project and we will continue to lend our support as the project evolves.” This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website.

National organization questions transparency of Alabama’s business incentives

Alabama hands out millions of dollars in industrial incentives to lure jobs to the state, but taxpayers are too often left in the dark about the deals and what the state ultimately gets in return, a new report from an advocacy group said. Jobs to Move America, a worker advocacy and research nonprofit, released a report Tuesday saying Alabama does a poor job compared to other states in disclosing information about incentives. “Alabama taxpayers are left in the dark about even the most basic details of these deals,” the report stated. “The state does not provide any transparency around which companies are receiving economic development incentives, how much they’re getting, how many jobs are created (or not) and at what wage level.” The report was compiled by Patricia Todd, a former Democratic legislator in the Alabama House of Representatives, who described her difficulty as an elected representative in trying to obtain more information about the projects. “We’re not against incentives,” Todd said. “There’s needs to be more accountability and transparency on how these deals are doled out.” Commerce Secretary Greg Canfield, in a response to the report, defended the state’s use and disclosure of incentives. “We can point to numerous examples where incentives have played a role in industrial growth and job creation across Alabama. This includes Mercedes and other automakers, along with Airbus and other companies that have put down roots in Alabama.” The department said it routinely releases information regarding incentives on major projects as they are announced, and Commerce Department said Canfield provides a report on incentives authorized under the Alabama Jobs Act to the Joint Legislative Oversight Committee. But Todd said the reports lack details about individual projects, including the name of the company. ThyssenKrupp, in 2007 agreed to locate its new steel-processing plant to Mobile after receiving a package of state and local incentives. Todd said she and her colleagues in 2006 approved raising the debt limit for the state’s incentive fund based on assurances from the governor that it was necessary to win the project. Six years later, ThyssenKrupp sold the plant, amid fallout from the recession, to another company. The group recommended several changes, including annual public hearings on corporate subsidies, an economic development budget that would provide a comprehensive accounting of all economic development programs. It also recommends hiring an independent party to evaluate each incentive and provide a report on a public website that includes the amount of incentive, pay scale of workers, return on investment, and job outcomes. Republished with the permission of the Associated Press.