Tex-Tech Industries of Kernersville has announced that it will build a new manufacturing plant in Winston-Salem, fresh on the heels of economic development incentives granted by the city, Forsyth County and the state.
The company is promising to create 59 jobs in Winston-Salem at its new plant, over five years.
Gov. Roy Cooper and local officials hailed the company’s decision, noting that Tex-Tech is a maker of specialty textiles and textile coatings that are used primarily in the aerospace, automotive and medical industries.
Tex-Tech was looking at a site in Winston-Salem, but was also considering a location in Maine. The company will be building a 170,000-square-foot plant with an investment of $41.7 million in construction, machinery and equipment. The plant will be built on Old Lexington Road on a 15-acre site just south of the former Western Electric plant, now Salem Business Park.
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“Expanding in Forsyth County was the best decision for our company,” Kelly Moore, the company’s chief financial officer said in a release. “Being centrally located on the east coast and having access to a growing advanced manufacturing talent pool were some of the differentiating factors for our decision to grow here.”
The city and county together are paying the company some $1.1 million in economic development incentives, which are financed by a portion of the new tax revenue the company will be paying locally. State incentives totaling $125,000 are also in the mix.
The company will pay an average wage of about $64,000. Most of the jobs are in advanced manufacturing operations. The state incentives apply to the creation of 49 jobs within the total paying an average salary of $67,918. New positions include managers, operators, technicians and sales personnel. The new jobs have the potential to create an annual payroll impact of more than $3.3 million for the region, state officials said.
“Our ability to deliver on talent is crucial to our efforts in economic development,” Mark Owens, the president and chief executive of Greater Winston-Salem Inc. said. “We continue to bring educators and employers to the table to collaboratively develop programs that build the right skill sets employers need, and it is working.”
Tex-Tech has about 265 employees in locations in North Carolina, South Carolina, Utah, Maine and Europe. The company’s expansion is prompted by its recent acquisition of an existing company on the west coast.
Officials here said advanced manufacturing is one of the target industries identified for growth in Forsyth County.
“We are pleased to assist the continued growth and success of a company with an established presence in Forsyth County,” Don Martin, the chairman of the Forsyth County Commissioners said. “Tex-Tech’s decision to expand here demonstrates our ability to maintain an exceptional business and workforce climate.”
Southeast Ward Council Member James Taylor and N.C. Rep. Kanika Brown, D-71, also weighed in with support for the expansion, which is taking place in their districts.
Forsyth Technical Community College is expected to provide training to workers, something Winston-Salem Mayor Allen Joines pointed to in remarks released with the announcement.
“By continuing to generate jobs through economic development wins, we provide opportunities for people to earn family sustaining wages and grow their careers,” Joines said. “Skilled and technical positions such as those needed by Tex-Tech require an aligned pipeline of specialized technical education, which we are able to offer.”
Looking at the project from the state’s point of view, Cooper said the state’s leadership in textile manufacturing helps companies like Tex-Tech stay on the cutting edge of innovation. Cooper said the expansion “builds upon the company’s success in Forsyth County for 60 years, affirming that North Carolina is a great place to do business.”
The state incentives are a performance-based grant from the One North Carolina Fund, which provides financial help to local governments for economic investment and job creation. As with the local incentives, companies receive no money upfront and must meet the stated targets to qualify for payment.
