Dive Brief:
- Adhesive manufacturer Nitto will open a multimillion-dollar advanced materials facility in Frankfort, Kentucky, creating 220 full-time manufacturing jobs, according to a Jan. 9 press release from Gov. Andy Beshear.
- The new facility is expected to be operational by this spring and aims to serve Kentucky’s automotive and aerospace sectors.
- Even as the company grows its manufacturing presence, however, Nitto has also been enduring layoffs at three of its manufacturing facilities in the past few months.
Dive Insight:
Founded in Japan in 1918, Nitto manufactures high-performance materials for a wide range of products around the globe. The company employs over 27,000 people worldwide.
Nitto operates one existing facility nearby in Lexington, Kentucky, as well as nine other manufacturing plants in the U.S, according to its website.
The Kentucky facility represents the largest job creation announcement in Frankfort and Franklin County since 2010, according to the governor’s release.
Several auto and batter manufacturers have established facilities in Kentucky in recent years, cementing its status as a hub for electric vehicle battery production. Key initiatives include the $5.8 billion BlueOval SK Battery Park in Hardin County, creating 5,000 jobs, AESC’s $2 billion gigafactory in Bowling Green, Toyota’s $1.3 billion investment in Georgetown and Shelbyville Battery Manufacturing’s $712 million project, employing 1,572 workers.
Meanwhile, Nitto is shuttering plants across the U.S. The company plans on closing a facility in Jasper, Alabama, laying off 56 employees starting in March, according to a state notice on Jan. 8. At the same time, Nitto is laying off 86 employees at a facility it’s closing in Chesapeake, Virginia, and is cutting 147 workers at a plant in Piqua, Ohio.
The company’s revenue took a hit in Q2 2024 ending on Sept. 30, down 16% year over year to 521,723 million yen ($3.3 million USD).
