Automotive supplier Sekisui Plastics USA Inc. will open an Ohio foam molding factory in July 2015.
The $5.2 million, 120,000-square-foot plant in Kenton will initially mold automotive safety and sound absorption products made from Piocelan, Sekisui's polystyrene/polyolefin hybrid foam resin, the company announced. The facility will have a capacity of 20 to 40 metric tons per month, ramping up to 10 metric tons, and will also produce packaging products.
In the future SPUS also plans to expand the Kenton plant to produce raw material — moldable hybrid foam beads — for its operations, and add manufacturing capabilities to support other end markets.
In a statement, SPUS Vice President Thomas Pontiff, said the expansion was prompted by increased customer demand from the Midwest.
“Since opening our first U.S. manufacturing plant in Tennessee in 2007, we have experienced tremendous growth, in South/Central U.S., and we are anticipating similar growth in the Northern Midwest,” he said. “Locating our new plant in Kenton, Ohio, gives us both the increased molding capacity we need for our expanding customer base plus closer proximity to both our current and targeted OEM customers who require just in time delivery.”
Pontiff said SPUS will be purchasing mainly new foam molding equipment for the plant, which will be established in an existing building in Kenton. The company also expects to create about 50 jobs in the area.
SPUS, headquartered in Mt. Pleasant, Tenn., is the American subsidiary of Osaka, Japan-headquartered Sekisui Plastics Co. Ltd. SPUS also has manufacturing in Mt. Pleasant, a sales office in Novi, Mich., and a tool design and production facility in Sun Prairie, Wis.