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GKN Sinter Metals to Expand Gallipolis Production Facility

GKN Sinter Metals plans a $10 million expansion of its Gallipolis production facility in southeastern Ohio’s Gallia County.

Matt Daniels, manager of the plant in Gallipolis, Ohio, said the project is expected to add 50 full-time jobs and generate up to $20 million in additional sales for the company over the next two to three years.  

The expansion will include the installation of a new 750-metric-ton, powder-compaction press along with other capital equipment to launch production of differential-gear components developed at the plant.

The 175,000-square-foot facility currently has more than 160 employees and produces gears, clutch pressure plates and torque-converter components for a variety of customers, including Chrysler, General Motors, EXEDY, LuK USA and Allison Transmission. Production of the new components is expected to begin during the second half of 2013.

GKN Sinter Metals received tax credits and development grants valued at nearly $800,000 to assist with the Gallipolis project from various state and local agencies. The State of Ohio awarded GKN a Job Creation Tax Credit and an Economic Development Grant with a combined worth of $380,000.

The Southern Ohio Agricultural and Community Development Foundation (SOACDF) also provided the company with a $350,000 development grant. Local incentives included a City of Gallipolis Job Creation Tax Credit and a Gallia County Community Improvement Corporation (CIC) Economic Development Grant with a total value of $60,000.

“The untiring support that we’ve received from the community and all levels of government has made this program possible,” Daniels said. “We are eager to install this new equipment and to begin production based on the new technology that’s been developed here in Gallipolis.”

Local, county and state officials took part in a press conference at the Gallipolis plant to announce the expansion program.  Participants included: 93rd District State Representative Ryan Smith; John Molinaro, president and CEO of the Appalachian Partnership for Economic Growth; Larry Kidd, JobsOhio board member; Gallia County Commissioner and President Harold Montgomery; Jay Cremeens, Gallipolis city commissioner and president; Tammi  Brabham, president of the Gallia County Community Improvement Corporation, and Don Branson, executive director of SOACDF.

“I am very excited that GKN chose the Gallipolis plant to expand their business,” said State Representative Ryan Smith. “We appreciate their commitment to the area and the fact they recognize that we have a good labor force in southeastern Ohio. We are continuing to improve the community every time we put another person to work and today there are 50 families that will directly benefit from this great news.”

John Molinaro, president and CEO of the Appalachian Partnership for Economic Growth (APEG), added, “On behalf of the APEG, JobsOhio and the State of Ohio, I would like to express appreciation for the fact that GKN Sinter Metals chose its Gallipolis location for this important investment.  We have worked hard to improve the business climate in Ohio to ensure that investments like the one GKN has announced both make good economic sense for the company and promote the prosperity of the community, region and state.  GKN’s investment is a testament to their trust that Gallipolis and Appalachian Ohio provide a profitable operating environment, quality workforce and welcoming attitude.”

County Commissioner Harold Montgomery said, “We are extremely pleased that GKN chose to expand in Gallia County. These are good jobs and much needed for our area. In the spirit of cooperation, we are pleased to see the state, county, city and CIC work together for one common cause to retain and create job opportunities in Gallia County.”

GKN Sinter Metals

GKN Sinter Metals is the world’s largest producer of precision powder metal products. With a focus on superior delivery, quality and total solutions, the company offers extensive technical expertise in design, testing and various process technologies. GKN Sinter Metals offers a full range of more than 10,000 complex shape, high strength products for automotive, industrial and consumer markets worldwide. The company’s global footprint spans more than 13 countries across five continents. GKN Sinter Metals is in close proximity to its customers with more than 30 global locations and approximately 6,500 employees.

GKN plc GKN plc is a global engineering group. It has four divisions; GKN Driveline, GKN Powder Metallurgy, GKN Aerospace and GKN Land Systems, which operate in the automotive, aerospace and land systems markets. Approximately 47,000 people work in GKN companies and joint ventures in more than 35 countries. GKN is listed in the London Stock Exchange (LSE: GKN).

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