FRANKFORT, Ky. (Sept 10, 2020) – With plans to reach 61 total employees in Boyd County, Danieli Corp. is adding to manufacturing operations and office positions at its current warehousing operations in Ashland, located alongside the former AK Steel property.
Gov. Andy Beshear thanked the company and welcomed the new jobs, which will focus on servicing, repairing and refurbishing steel mill equipment.
"The Ashland area has been hit hard economically. We've seen closings of a number of plants. This project, actually neighboring one of those former plants, is an exciting new opportunity that shows that there is not just hope, but there is a future reality with new and high-quality jobs," said Gov. Beshear."
Danieli, an Italian-owned metals-industry supplier employing more than 10,000 people globally, established a warehousing operation in Ashland early this year. Hiring for the second phase will occur across the coming 12 months with manufacturing operations set to begin in fall 2021.
Founded in Brescia in 1914 as one of the first electric steelmaking companies in Italy, Danieli eventually relocated in 1929 to the town of Buttrio, where brothers Timo and Mario Danieli began manufacturing hand tools and farming equipment. The operation became the hub of the Danieli Group and grew to become one of the largest producers of equipment for the metals industry worldwide. Today, the Danieli Group encompasses more than 25 divisions and continues expanding in digital innovation, aluminum, steel, robotics and process automation and control systems.
Sen. Robin L. Webb, of Grayson, congratulated Danieli for selecting and growing its North American presence in Ashland.
"The announcement of Danieli Corp. choosing to locate in Ashland is wonderful news for the region. Our highly skilled and highly experienced workforce stands ready to fill these positions immediately and not miss a beat. Thank you to Gov. Andy Beshear and all those who helped make this possible," Sen. Webb said.
Rep. Terri Branham Clark, of Catlettsburg, said the investment and jobs will help the community rebound and rebuild.
"This project is a welcome spark of good economic news for our area, and I want to thank Danieli's leaders for investing further in our community and creating these much-needed jobs," Rep. Branham Clark said. "We've endured the loss of too many jobs from our industrial sector in recent years, which has impacted other sectors of our economy. But we've been down before and have come back stronger than ever – we are defined by resiliency. Announcements like this are the foundation for better days ahead."
Ashland Mayor Steve Gilmore thanked the company and welcomed the additional development and employment.
"This is a great addition to Danieli's operations in the city, and we look forward to assisting in their growth and success in the coming years," Mayor Gilmore said. "This is a positive step and we look forward to more to come."
Boyd County Judge/Executive Eric Chaney applauded the project and new jobs for the region.
"It's wonderful to see this kind of growth in Boyd County. I commend Danieli Corp. and the wide team of professionals on the state and local side who worked to make this initial project and expansion a reality," Judge-Executive Chaney said.
Tim Gibbs, president and CEO of Ashland Alliance, said preparation and perseverance helped win the initial project and follow-on growth.
"Ashland is primed for investment and growth. We've worked hard and in a dedicated fashion to get to this point," Gibbs said. "The fact Danieli decided early this year to establish an operation here, and is now expanding, speaks to the opportunities we offer, whether in having a trained, available workforce, sites and buildings or access to major multimodal transportation. I'd like to thank the company and all who played a role in securing this project."
To encourage the investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) on Aug. 27 preliminarily approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $1.25 million in tax incentives based on the company's investment of $12.25 million and annual targets of:
- Creation and maintenance of 53 Kentucky-resident, full-time jobs across 10 years; and
- Paying an average hourly wage of $31 including benefits across those jobs.
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.
In addition, Danieli can receive resources from the Kentucky Skills Network. Through the Kentucky Skills Network, companies can receive no-cost recruitment and job placement services, reduced-cost customized training and job training incentives.
For more information on Danieli, visit https://www.danieli.com/en/.
A detailed community profile for Boyd County can be viewed here.
Information on Kentucky’s economic development efforts and programs is available at www.CED.ky.gov. Fans of the Cabinet can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov and LinkedIn.
Read about other key updates, actions and information from Gov. Beshear and his administration at governor.ky.gov, kycovid19.ky.gov and the Governor’s official social media accounts Facebook, Twitter and YouTube.