Novelis Inc. plans to invest more than $7 million to restart several pieces of idled equipment for the production of aluminum foil at its manufacturing facility in Terre Haute, Indiana. The investment includes the hiring of 37 new employees to run and manage the operation.
“Novelis has been a strong community partner here in the Wabash Valley for more than 60 years and this investment solidifies not only our leadership position in the aluminum foil market, but also our commitment to bringing new, sustainable jobs to this region,” said Ryan Smith, plant manager at Terre Haute.
Currently, the 155 employees in Terre Haute produce light-gauge aluminum used for several end markets and products. In 2014, Novelis stopped producing household aluminum foil due to unfavorable market dynamics. Since then, the Aluminum Association’s Trade Enforcement Working Group, of which Novelis is a member, has filed antidumping and countervailing duty cases against several countries from which unfairly priced aluminum foil has been imported into the U.S. Since the success of these cases, interest for household foil produced in the U.S. has increased and Novelis has decided to reenter the market, create jobs, and invest in its operations.
With this investment in Terre Haute, the plant will return to producing aluminum for household foil applications later this year after recently securing several multi-year agreements with key customers. Examples of these applications include products such as aluminum foil sheets and rolls used in commercial and residential kitchens.
The Indiana Economic Development Corporation offered Novelis up to $475,000 in conditional tax credits based on the company’s job creation plans. These tax credits are performance-based, meaning the company is eligible to claim incentives once residents of Indiana are hired. The Terre Haute Economic Development Corporation approved additional incentives. The WorkOne Center of Western Indiana will also support Novelis’ hiring efforts and offer eligible, unemployed workers funding for on-the-job training.
“Novelis contributes to our state’s strong and diversified manufacturing sector, which boasts more than 9,000 facilities across Indiana,” said Jim Staton, SVP and chief business development officer for the Indiana Economic Development Corporation. “These manufacturers provide thousands of quality Hoosier jobs, and I applaud Novelis for being innovative and adapting to the current market to grow their operations.”