Kalfact Plastics Co., a Tier 2 automotive supplier, will build a 100,000-square-foot injection molding plant in Rockford, Mich., and spend $4 million to equip the facility, according to James M. Stewart, president and chief executive officer.
Construction will begin once the city approves the site plan, Stewart said in a telephone interview. The facility will replace Kalfact's 50,000-square-foot plant in Greenville, Mich., about 17 miles from Rockford. The Greenville operation will close when the company moves to the new location in September, Stewart said.
Kalfact, with about $16 million in annual sales, produces a variety of custom molded products for the automotive, appliance, furniture and electronics industries.
``We have outgrown our current facility, where the company has been located since opening in 1967,'' Stewart said in a news release.
Stewart added that while Michigan is keen on keeping Kalfact in the state, ``no inducements at this point'' were tendered to retain the company other than standard Michigan programs for business such as job training. He did not disclose the cost of building the plant.
Kalfact employs about 150 and expects to add 30 jobs during the next two years as a result of the move. Stewart said the firm is operating three shifts and is running at 80 percent of capacity.
The company plans to purchase $2 million worth of new presses and spend another $2 million on robotics, according to Stewart, but Kalfact has not decided what brand of machines to buy.
The firm also plans to expand its decorating capabilities, including pad printing, hot stamping, painting and laser etching, he said.