Manufacturing Momentum

The word is out among manufacturers worldwide: Kentucky is the place to be.

In 2021 and 2022, the commonwealth recorded its best two-year period in state history for economic growth—much of it coming from new and expanding manufacturing facilities locating in central and eastern Kentucky. This year could mark a third year of consecutive growth, predicts Brad Thomas, economic development manager for Kentucky’s Touchstone Energy Cooperatives.

Salt River Electric is among the 17 Kentucky’s Touchstone Energy Cooperatives playing a role in attracting new investment and high-quality jobs to rural communities. Manufacturing site selectors are finding that electric co-ops offer them an essential ingredient for success: affordable, reliable, sustainable electricity.

Cooperatives have earned a reputation for being flexible and forward-thinking in helping potential investors meet sustainability criteria, Thomas says.

“Unlike investor-owned utilities, our electric co-ops can be agile and work closely with companies to help them achieve their power goals,” Thomas says.

Among the companies announcing new locations or expansions along co-op power lines are:

•EnerVenue—In March, the metal-hydrogen battery manufacturer announced it is building a $264 million, 1 million-square-foot facility in Shelby County that will create 450 full-time jobs.

•LOTTE Aluminum Materials USA—The South Korean company is investing $238.7 million to build a Hardin County factory that makes ultra-thin aluminum foil used in electric vehicle batteries. It is scheduled to open in 2025 and will employ 122 people.

•G&J Pepsi-Cola Bottlers—The $8.9 million, 124,000-square-foot warehouse in Mason County, which became fully operation in January, employs 73 people.

•Flottweg Separation Technology Inc.—The manufacturer of centrifuges and other liquid-solid separation equipment invested $1.75 million and created 12 high-wage jobs at its recently opened warehouse in Boone County.

•The Sazerac Co.—The Kentucky-based producer and marketer of distilled spirits is investing $600 million to construct nearly 20 barrel-storage warehouses and expand its barrel production capabilities in Laurel County, creating up to 50 full-time jobs.

•Pernod Ricard USA—Construction is underway on a 100% carbon neutral distillery in Marion County, the wine and spirits company’s first in Kentucky. The $250 million project will employ 55 full-time workers when it opens in 2024.

•INFAC North America—Officials broke ground in June on an expansion of the auto parts manufacturer’s Taylor County facility. The $53 million investment, intended to support the state’s growing electric vehicle industry, will create 220 new jobs.