Latest news with #JobDevelopmentInvestmentGrant
Fibre2Fashion
6 days ago
- Business
- Fibre2Fashion
Pelsan Tekstil to invest $82.6 million in first US plant
Pelsan Tekstil, a global leader in breathable film technologies for the hygiene and medical sectors, will establish its first production facility in the United States in Wayne County, creating 216 jobs. The company will make an $82.6 million investment in Goldsboro. Pelsan was established in 2006 as a subsidiary to the Hassan Group, which has more than 80 years of experience in nonwoven and polymer film technologies. Pelsan was the first company in Turkey to manufacture breathable polyethylene films and today offers one of the industry's most advanced product portfolios. The company's project in Goldsboro establishes its first US facility for manufacturing various lines of breathable films for hygiene and medical applications, enabling Pelsan to respond more efficiently to rising demand across North America. Pelsan Tekstil will invest $82.6 million to open its first US facility in Goldsboro, North Carolina, creating 216 jobs. Supported by a JDIG grant, the project is expected to boost the state's economy by $719.5 million over 12 years. The expansion marks a major strategic move for Pelsan as it strengthens its presence in North America's hygiene and medical sectors. 'This expansion is a major strategic milestone for us,' said Ali Sisman, CEO of Pelsan Tekstil . 'Our decision to invest in North Carolina underscores our belief in the region's strong workforce, robust infrastructure, and its alignment with our values of innovation and collaboration. This facility represents a significant new chapter in our company's journey. We are at a pivotal moment – at the intersection of life and innovation. This journey of transformation and progress is not just ours, but one we share with every individual seeking change, growth, and a better tomorrow.' 'We continue to see strong interest in our state from international companies looking to expand into North America,' said commerce secretary Lee Lilley . 'Our business-friendly reputation and proven competitive advantages continue to attract top-tier companies like Pelsan from around the globe.' Although wages will vary depending on the position, the average salary for the new jobs will be $48,789. The current average wage in Wayne County is $46,211, the office of the governor Josh Stein said in a press release. 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 earlier. Over the course of the 12-year term of this grant, the project is estimated to grow the state's economy by more than $719.5 million. Using a formula that takes into account the new tax revenues generated by the new jobs and the capital investment, the JDIG agreement authorises the potential reimbursement to the company of up to $2,065,000, spread 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. The project's projected return on investment of public dollars is 115 per cent, meaning for every dollar of potential cost, the state receives $2.15 in state revenue. JDIG projects result in positive net tax revenue to the state treasury, even after taking into consideration the grant's reimbursement payments to a given company. "The new jobs and the investment into Goldsboro will bring economic growth and stability to Eastern NC,' said senator Buck Newton . "On behalf of Wayne County, we welcome Pelsan to our community and we will continue to support this company as it grows. I am looking forward to witnessing the benefits this project will bring." Fibre2Fashion News Desk (RR)
Yahoo
6 days ago
- Business
- Yahoo
Financial services company picks Charlotte for new HQ, bringing nearly 300 jobs
CHARLOTTE (QUEEN CITY NEWS) — Daimler Truck Financial Services USA (DTFS) is moving its headquarters to Charlotte, bringing 276 new jobs to Mecklenburg County. Governor Josh Stein announced the move on Tuesday, celebrating the company's decision to invest over $7.8 million in a new 60,000-square-foot facility. Officials said the new headquarters will house administrative, human resources, and financial operations, combining offices previously located in Michigan and Texas. Gastonia man dies in industrial accident at Kings Mountain manufacturing facility DTFS provides financing, leasing, and insurance services for Daimler Truck North America, the company behind familiar names like Freightliner trucks and Thomas Built Buses. The new jobs will offer an average salary of nearly $134,000 and are expected to create an annual payroll impact of almost $37 million. The move is supported by a state Job Development Investment Grant, which could reimburse the company up to $4.2 million over 12 years if DTFS meets job creation and investment goals. The state expects to see a strong return, estimating a $1.08 billion boost to North Carolina's economy over the life of the project. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Axios
12-05-2025
- Business
- Axios
Biotech company Genentech pledges to create 400 jobs in Holly Springs
Genentech, a biotechnology company based in South San Francisco, could add 400 jobs in the Wake County town of Holly Springs after agreeing to an incentives deal with North Carolina. Why it matters: Holly Springs continues to be one of the major hot spots for biotech expansions in the country. Amgen, Fujifilm Diosynth, Seqiris and Janssen Pharmaceuticals have together already invested billions of dollars to expand biotech manufacturing to the town in recent years. State of play: The investment comes a month after Genentech's parent company, the Swiss drug maker Roche, said it would invest heavily in the U.S. in response to the Trump administration's tariffs, Reuters reported. Genentech produces a variety of drugs treating cancers and rare diseases, like Avastin for colorectal cancer and Herceptin for breast cancer. Driving the news: North Carolina approved a Job Development Investment Grant for Genentech Monday morning worth up to $9.8 million in tax cuts for the company — if it meets hiring and investment goals. Zoom in: The state said Genentech would invest $700 million into a new, 700,000-square-foot facility in Holly Springs.
Yahoo
23-02-2025
- Business
- Yahoo
NC's big incentive deals are failing at a staggering rate. We're getting played.
Economic development grants are always a political favorite in North Carolina. Governors absolutely love to hand them out. Of course, it's easy to celebrate when a company promises a flood of new jobs. But once the cameras are packed away, more often than not, those jobs never actually materialize. We've known about this problem for years. The bad news? It's getting worse. So far in 2025, six state incentives deals have already collapsed — putting North Carolina on pace to blow past last year's total of 20 failed projects, according to my analysis of Department of Commerce records. That was already an increase from 19 failed deals in 2023 and 15 the year before. At this rate, our state's deals are falling apart almost as fast as we're making them. Over the last five years, North Carolina has averaged 28 new Job Development Investment Grant deals per year, and 15 terminations. That means for every two new deals we make, one fails. The number of successful completions is just seven per year. Almost every time there's a job announcement like Novo Nordisk expanding in Johnston County, there's a similar deal that's canceled — like Microsoft bailing on a deal to grow in Charlotte and Morrisville. Even more troubling: This year's failures aren't because of 'economic headwinds' or unforeseen struggles. Two of the six companies are walking away without even filing the required paperwork. They're not even pretending to take these deals seriously. So why should we? The idea behind economic incentives is simple: Offer companies millions in grants or tax breaks in exchange for jobs and investment. The state puts money on the table, and in theory, that money fuels growth that wouldn't have happened otherwise. At least that's the pitch. Economic development officials insist these deals are necessary to stay competitive. And the numbers are staggering. Over the last five years, North Carolina has promised companies $2.7 billion in incentives and actually paid out $233 million. What have we gotten in return? Since the state's major incentives programs began, companies have committed to creating 211,881 jobs — but so far, fewer than half (99,935) have materialized, my analysis found. While some projects are ongoing, at the current pace of cancellations, it's hard to be optimistic. Of the 426 JDIG grants awarded since 2003, only 50 have been successfully completed. Meanwhile, 203 have been terminated or withdrawn. In Charlotte, Electrolux, Centene, and Allstate promised hundreds of jobs. In Wake County, Microsoft, Xerox and Citrix did the same. In each of these cases, the companies cancelled the incentives deal before hitting a single target. That doesn't even take into account the fact that many of these deals aren't even about creating new jobs at all. A large chunk of incentives go toward 'retaining' jobs for companies that were already here. And even when new jobs are created, they often come from companies relocating employees from other states, not hiring North Carolinians who actually need work. The money itself isn't always the issue — companies don't get paid unless they meet some requirements. The grant amounts are tied to a percentage of payroll taxes generated by the new jobs. But even if companies don't get the full payout, they still get something valuable: goodwill. They enjoy headlines, political support, and public credibility—only to bail when the numbers don't work out. There are no real consequences. The incentives system isn't failing. On the contrary, it's working exactly as designed. The problem is that we don't ask enough of companies in exchange for these deals. If North Carolina is willing to make long-term commitments to them, they should be required to make long-term commitments to us. Fail to deliver? Pay the money back. All of it. No exceptions. We know this approach can work. Look at what happened when Pactiv Evergreen abruptly shut down its Canton paper mill last year — despite taking a $12 million incentives deal. The state sued. Pactiv was forced to repay $6.25 million to North Carolina, Haywood County, and the town of Canton. It wasn't a full refund, but it was meaningful. Yes, this case was unique. Unlike other companies that quietly exit deals, Pactiv's abrupt shutdown left the state little choice but to act. What's more, the incentives program Pactiv used differs from most business grants. But it proves a point: North Carolina can fight back. But what if we treated all broken deals this way? Imagine if every company that bailed on its commitments faced the same consequences. Would businesses be so quick to break their promises if they knew the state would actually hold them accountable? Right now, companies know they can cash in on goodwill and walk away unscathed. That has to change. If North Carolina is going to keep making these deals, companies should know: This time, we're keeping score. Andrew Dunn is a contributing columnist to The Charlotte Observer and The News & Observer. of Raleigh. He is a conservative political analyst and the publisher of Longleaf Politics , a newsletter dedicated to weighing in on the big issues in North Carolina government and politics.
Yahoo
29-01-2025
- Business
- Yahoo
Aircraft engine manufacturer to give storm-ravaged Buncombe County an economic lift
Pratt & Whitney employee works on aircraft engine. (Photo: Pratt & Whitney) 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.
