Roughly six months after completing a $40 million expansion at its Sparta, Mich., facility, adhesive tape manufacturer Tesa Tape Inc. now has moved its North American headquarters to downtown Grand Rapids, Mich.
The subsidiary of Germany-based Tesa SE recently opened its new Grand Rapids location, replacing the company's existing U.S.-based headquarters in Charlotte, N.C.
The $1.2 million relocation, which is expected to create 60 new corporate jobs, received state backing with a $500,000 Michigan Business Development Program performance-based grant.
Tesa Tape currently employs close to 175 people in Michigan, where it based its first North American operations outside of Europe in Sparta in 1982. In addition to its Sparta manufacturing plant, Tesa Tape also operates a warehouse and distribution facility in nearby Walker.
"Global companies like Tesa recognize the exceptional value and amenities that downtown Grand Rapids offers for their professional and corporate services employees. The city of Grand Rapids is thrilled to see Tesa Tape's continued investment and growth in West Michigan and looks forward to welcoming 60 high-wage jobs to the city," Jono Klooster, acting director of economic development for the city of Grand Rapids, said in a statement.
Tesa Tape manufactures self-adhesive solutions used in various applications for industries such as appliance, automotive, building supply, electronics, industrial, paper and print, and transportation.
In September, Tesa Tape announced the completion of its 40,000-square-foot expansion project in Sparta that added manufacturing space, a product and technology development lab and a customer solution center for product testing.
At the time, company officials touted the "stable business" and ease of attracting talent in West Michigan as key reasons to continue to expand and invest in the region.
"It's a nice area to live [and] it's good to attract talent," Armin Hagenloch, plant manager for Tesa's Sparta facility, told Crain's Grand Rapids Business last year. "From the business side, from the infrastructure side … it's a great place."
Tesa Tape's 40,000-square-foot expansion includes a product and technology development lab and a center for product testing. Credit: Courtesy of Tesa Tape
The recent Sparta expansion, which added 25 new jobs, also involved the replacement of aging production lines with new solvent-free production lines for more sustainable manufacturing.
"We're coming from a solvent-based line that's about 40 years old, and instead of investing in older equipment … we decided to invest and go make a big step in sustainability," Hagenloch said previously. "We'll actually be the second Tesa plant that's solvent-free."
Hagenloch also told Crain's Grand Rapids Business last year that the company's ultimate goal is to manufacture in the U.S. as much as possible to avoid overseas shipping and freight costs from Germany.