11 September 2012

Mexico-based Metal Manufacturer Faeza to invest $7.56 million and create 47 jobs in Shelbyville, Indiana

Shelbyville, Ind. – 11 September 2012 – Faeza Alloyers U.S.A., a metal alloys manufacturer and fabricator, announced plans today to locate its first U.S. facility here, creating up to 47 new jobs by 2015.

The Chalco, Mexico-based company, which specializes in producing alloys with zinc and aluminum bases for the automotive industry, will invest $7.56 million to construct and equip a 36,000 square-foot facility on its 11-acre campus in 1200 Enterprise Site, a state certified shovel ready site in Shelbyville. As part of the project, Faeza plans to purchase new manufacturing machinery and information technology equipment for the facility. 

“Indiana has a global reputation as one of the top places in the United States to do business and we’re happy to have another international leader like Faeza call Indiana home,” said Governor Mitch Daniels. "Our low-tax policies, highly-skilled workforce and expansive infrastructure continue to keep Indiana at the top of the list of best places to do business in the nation."

The company, which currently has four facilities in Mexico, plans to begin hiring production and support associates next spring in preparation for the anticipated opening of the facility in the summer of 2013. 

“Faeza wants to successfully grow in the aluminum smelting market, that’s why Faeza Group has in its business plan this project bringing a new plant for molten aluminum to Indiana,” said Gustavo Gonzalez Ayala, general manager of Faeza. “This project, with the help of Indiana’s friendly business climate and location, aims to supply molten and ingot aluminum alloys to further meet our customer’s requirements who are located in the area.”

Founded in 1985, Faeza’s production of alloys with zinc and aluminum are manufactured for the automotive industry and products such as carburetors, door locks and transmission cases. Faeza’s new facility will place the company in close proximity to its primary customer, Ryobi Die Casting, also in Shelbyville.

The Indiana Economic Development Corporation offered Faeza Alloyers U.S.A. up to $200,000 in conditional tax credits and up to $50,000 in training grants based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of Shelbyville is considering additional property tax abatement at the request of the Shelby County Development Corporation.

The Indiana Economic Development Corporation (IEDC) oversees programs enacted by the General Assembly including tax credits, workforce training grants and public infrastructure assistance. All tax credits are performance-based. Therefore, companies must first invest in Indiana through job creation or capital investment before incentives are paid. A company who does not meet its full projections only receives a percentage of the incentives proportional to its actual investment. 

Source: IEDC