Aircraft engine manufacturer to give storm-ravaged Buncombe County an economic lift
Pratt and Whitney's announced expansion of its turbine airfoil manufacturing plant in Buncombe County will give the region a much-needed economic boost, Gov. Josh Stein said on Tuesday. The expansion will create 325 additional jobs and includes an additional investment of $285 million in Asheville, the governor announced.
'Western North Carolina's economy took it on the chin after Hurricane Helene, yet still it remains an incredible place to work and do business,' Stein said in a statement. 'Pratt & Whitney clearly sees the opportunities in North Carolina and the strength of our highly skilled workforce.'
Pratt & Whitney is a world leader in the design, manufacture, and service of aircraft engines and auxiliary power units. The company's Asheville facility produces high-tech turbine airfoils, which are an important component in aircraft jet engines. The company's new project will expand its production capacity to meet growing customer demand, Pratt & Whitney officials said.
'This latest round of investment allows us to add critical process elements for the manufacture of turbine airfoils and increase the overall delivery output of this facility, enabling us to deliver on our customer commitments while creating hundreds of new jobs in the Asheville community,' said Dan Field, Asheville general manager for Pratt & Whitney.
The N.C. Department of Commerce led the state's support for the company during its site evaluation and decision-making process. The average salary for the new positions will be $62,413, compared with an average Buncombe County wage of $55,416. The new positions will bring an annual payroll impact to the community of more than $20 million per year.
'The aviation industry is a key driver of North Carolina's economic success and Pratt & Whitney's decision strengthens our aerospace ecosystem substantially,' said Commerce Secretary Lee Lilley. 'We will continue to invest in support systems, like our community colleges and universities, that help employers like Pratt & Whitney succeed in our state—and bolster Western NC's economy.'
The company's project in North Carolina will be facilitated, in part, by a Job Development Investment Grant (JDIG) approved by the state's Economic Investment Committee. Over the life of the 12-year grant, the project is estimated to grow the state's economy by nearly $2.1 billion.
Using a formula that takes into account the new tax revenues generated by new jobs and the capital investment, the JDIG agreement authorizes the potential reimbursement to the company of up to $4.2 million over 12 years. State payments only occur following performance verification by the departments of Commerce and Revenue that the company has met its incremental job creation and investment targets.
Because Pratt & Whitney is expanding in Buncombe County, which is classified by the state's economic tier system as Tier 3, the company's JDIG agreement also calls for moving $1.4 million into the state's Industrial Development Fund – Utility Account. The Utility Account helps rural communities finance necessary infrastructure upgrades to attract future business. Tier 3 counties are those with the least amount of economic stress. The Utility Account helps counties that are more economically challenged.
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