Foreign Direct Investment project to retain 150 jobs and result in 22 new direct, indirect job
Today, Gov. John Bel Edwards and Ternium USA Inc. President Michael Guhl announced the international steelmaker will invest $14.7 million to expand and upgrade its facility at The Port of Caddo-Bossier in Shreveport.
Through the project, the company will retain 150 existing jobs and create six new direct jobs with an average salary of $65,000, plus benefits. Louisiana Economic Development estimates the project will result in 16 new indirect jobs, for a total of 22 new jobs in Louisiana’s Northwest Region.
“Ternium’s expansion at The Port of Caddo-Bossier is a vote of confidence in the effectiveness of our port system, the talent of our people, and the strength of our business economy,” Gov. Edwards said. “The decision to upgrade this facility sends a message that Louisiana is well-positioned for foreign direct investment projects to thrive. Ternium’s reinvestment also secures the retention of 150 jobs and affirms the company’s confidence in Louisiana’s Northwest Region as a place to grow.”
Ternium will overhaul its galvanizing line and complete other capital upgrades to optimize plant operations and logistics. Upgrading the galvanizing line will yield an additional 42,000 metric tons per year of coated product to be sold within Louisiana and the company’s U.S. commercial network. With the production increase, new employees hired by the company will support the operation, handling and logistics of the revitalized facility.
“In keeping with the goal to improve and expand our product and service offerings to customers, Ternium has renewed its commitment to collaborate in achieving growth and development of the Caddo Parish area by adding a $14.7 million capital investment to its manufacturing facility in Louisiana,” Guhl said.
“I applaud Ternium’s decision to expand within our city, and welcome the boost this will have in our economy,” Shreveport Mayor Ollie Tyler said. “It is great to have businesses stay and grow their companies right here in Shreveport.”
“The expansion of Ternium is exciting news for our region and for Caddo Parish,” said Parish of Caddo Administrator and CEO Woodrow Wilson Jr. “Caddo Parish is an ideal place for businesses to invest and grow, and the creation of new jobs and the retention of existing jobs is a testament to the strength of our economy and the potential for even greater development opportunities.”
LED began working with Ternium on the expansion project in July 2018. Ternium ultimately selected the Louisiana location for the investment over competition that included sites in Mexico. The company is expected to utilize Louisiana’s Enterprise Zone and Industrial Tax Exemption programs.
“Our existing tenants, like Ternium, continue to be an important economic driver for the port and the communities it serves,” said Executive Director Eric England of The Port of Caddo-Bossier. “Ternium’s $14.7 million expansion means we’ll see an additional 42,000 tons of product move through the port. At the same time, it will create six new jobs, which studies show should lead to a total of 22 new jobs in this area.”
The investment in the Ternium facility will yield an additional 24,000 square feet to accommodate new finished product and to reduce overall storage costs. Construction of the project is expected to be complete by December 2019. Ternium has begun the hiring process for the new positions.
“Ternium’s commitment to growing in Shreveport-Bossier is a testament to the great workforce, low cost of doing business, and multimodal transportation infrastructure that allow global companies to expand in North Louisiana,” said President Scott Martinez of the North Louisiana Economic Partnership. “We commend Ternium for reinvesting at The Port of Caddo-Bossier and for creating new jobs in North Louisiana.”
Ternium is Latin America’s leading flat-steel producer, with operating facilities in Mexico, Brazil, Argentina, Colombia, the southern United States and Central America.