Dajcor Aluminum Ltd., a Canadian manufacturer of extruded and fabricated aluminum products, plans to invest $19.6 million to start up its first U.S. operation in Coalfields Industrial Park near Hazard, Kentucky. The operation will provide additional capacity for aluminum extrusion and fabrication to serve a variety of North American industries, helping the company to better reach its U.S. customers. The plant will also create up to 265 full-time jobs for the local area.
“We are excited to get going on this expansion project for Dajcor,” said Mike Kilby, president and CEO of Dajcor. “This project will not only expand our capacity but also our geographic reach as our first manufacturing facility in the U.S. Perry County, in Eastern Kentucky, offers a ready workforce as well as excellent state-of-the-art fabrication training facilities within the area. This fits well with our ‘All Under One Roof’ aluminum extrusion and fabrication business model.”
To encourage the investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in December preliminarily approved the company for tax incentives up to $4 million through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of the new tax revenue it generates over the agreement term through corporate income tax credits and wage assessments by meeting job and investment targets.
“We are excited for another major jobs announcement in Eastern Kentucky, where we have a strong, skilled workforce ready to serve any industry’s needs,” said Matt Bevin, governor of Kentucky. “Dajcor Aluminum has selected an excellent location for its first US operation and will be a great fit for the workforce in and around Perry County. We are grateful to Dajcor for their decision to locate in Kentucky, and we stand ready to help this company achieve its goals and continue its rapid growth.”
Chuck Sexton, president and CEO of One East Kentucky, said this type of growth can provide immediate support to the region. “Dajcor represents what our organization is focused on; building a diversified cluster of industry which will have the ability to perpetuate growth in the years to come,” Sexton said. “We are excited about what this project means for all of Eastern Kentucky and appreciate the responsiveness and hard work of our local, state and federal officials to make this possible.”
Dajcor, headquartered in Chatham-Kent, Ontario, Canada, was founded in 2010 after a group of Chatham businessmen purchased the assets of Daymond Aluminum. The investors’ mission was to restore the company to its pre-recession status as a widely recognized supplier of extruded, fabricated, and anodized aluminum components to the U.S. and Canadian markets. The company, which formerly served the automotive industry exclusively, has expanded to serve a range of markets, including renewable energy, medical equipment, transportation, building trades, military, marine, recreation, and consumer-product industries.
Retrofitting and setup of the former American Woodmark facility to meet the needs of the aluminum extrusion operation will begin immediately and operations are slated to begin by the end of 2019. Company leaders plan to begin recruiting and hiring immediately.