(Segen) – The city of Segen continues to bring new jobs to the community. On Tuesday, Seguin City Council approved an agreement allowing a Japanese company to open a new manufacturing facility in Seguin.
Maruichi Stainless Tube Texas Corporation will create more than 100 new jobs at Seguin and will invest about $75 million to build a major plant at Seguin. The facility will be built on 33 acres on 8th Street south of the Union Alloys plant.
Seguin’s director of economic development Josh Schneuker said the city and its Seguin Economic Development Corporation (SEDC) are working with the company to close the deal.
“We are pleased to announce that we are advancing our economic development project with Maruichi Stainless Steel (Tube) Texas Corporation. The first tranche of this transaction includes the sale of 33 acres to SEDC at $3 per square foot. The final purchase price. our research, we also estimate sales there at around $4.3 million,” Schneiker said.
Schneiker said this is another major job creation announcement for the city of Séguin. He said the company would be an important addition to the city’s already strong industrial community.
”Maruichi is a Japanese company. They manufacture stainless steel tubes for customers in the semiconductor industry. They are offering a 125,000 square foot facility in Seguin with a minimum capital investment of $55 million. They will also create 106 new jobs with a gross annual income of $4.77 million All of these performance obligations are formalized in a performance agreement, which is a performance-based cash grant to the company, so they must meet the benchmarks set out in the agreement to be rewarded,” Schneiker said.
“We are delighted that Maruichi has chosen to build its new manufacturing facility in Seguin, Texas. This project will help create good jobs for our residents and help grow and diversify our economic base. We are proud that they
The council held an executive meeting on Tuesday to brief on the draft. When it came to a public meeting, the council members unanimously approved the deal.
Maruichi expects the project to go live in the first quarter of 2023 and go live in the first quarter of 2024, Schneuker said. The total capital investment for the project will be $75 million and will create at least 106 new jobs over the two-year commissioning period.
Since 1959, Maruichi Stainless Tube Co., LTD has been manufacturing high quality seamless stainless steel tubes, hot extruded and cold drawn tubes. The company manufactures products for power plants, the chemical industry, the semiconductor industry, hydrogen filling stations, the automotive industry, and construction machinery.
President of Maruichi Stainless Tube Co. Tasashi Onishi said that Maruichi is very pleased with the expansion of its manufacturing operations in Seguin.
”The strategic location, access to a skilled workforce, and the partnership and sincere support we have received from the board of SEDC, the Seguin City Council, and the city government have helped Maruichi solidify the decision to locate this project in Seguin. We look forward to contributing to improve the city’s economy Do your part and become a new member of the business community,” said Onishi.
The company’s Seguin facility will manufacture seamless stainless steel precision tubes to support customers in the semiconductor industry. According to Schneiker, demand for precision bright annealed (BA) stainless steel tubes used in semiconductor manufacturing is increasing significantly due to the growth in global demand for semiconductors.
The Seguin facility will help Maruichi further meet the needs of several large-scale semiconductor manufacturing projects in the United States.
Post time: May-05-2023