United Alloy

United Alloy is planning to bring a $35 million investment and 100 jobs to Seguin.

A new manufacturing facility is slated to make its way to Seguin, bringing a $35 million investment and about 100 jobs to the area.

United Alloy Inc. is planning to build a 200,000 square-foot “state-of-the-art” facility on a 27-acre lot between Eighth Street and Guadalupe Street just south of Interstate 10, a news release from the city read.

“It’ll be just south of the Rio Nogales power plant directly across from the Niagara Bottling,” said Josh Schneuker, Seguin Economic Development Corporation executive director. “It’s going to be on a piece of property that the SEDC purchased back in June. They’re proposing an investment of $35 million where they will build their new facility creating 100 new jobs over a five-year period.”

The company plans to break ground early next year and begin operations by the end of 2020.

“We made the decision to build our Texas plant in Seguin because of the successful track record of attracting Texas employees capable of building a world class organization,” United Alloy chairman Tom Baer said in the release.

Once the facility is complete, the company is committing to $6 million in annualized payroll at final job ramp up, Schneuker said.

“They have a lot of Fortune 500 customers across the globe,” Schneuker said. “One of their biggest suppliers here in this area is actually Caterpillar and we are finally seeing one of the bigger spin-off projects from the Caterpillar project with the Alloy project.”

United Alloy Inc, based out of Janesillve, Wisconsin, is a production metal fabrication and powder coating company, according to the release.

“United Alloy produces the highest quality leak-proof metal fuel tanks, reservoirs, skids, frames, chassis, trailers, heavy metal fabrications, and complex weldments for an extensive list of long-term, highly satisfied and most impressive, Fortune 500 OEM customers,” the statement read. “United Alloy is ISO 9001 certified and is also a recognized woman/minority owned business.”

The new business will create jobs and help grow the economy, Seguin Mayor Don Keil said in the statement.

“We are delighted that United Alloy has decided to build their new manufacturing facility in Seguin,” he said. “This project will help create excellent employment opportunities for our residents and help grow our economic base. We are proud that they have chosen to do business in the city of Seguin.”

Prior to the announcement, both the SEDC board of directors and the Seguin City Council approved an incentive package that included a land grant and partial tax abatement, the release stated. In return, the company has promised to “commit to the capital investment and job creation benchmarks,” the statement said

“In order to help secure the investment here to Seguin, our incentive package was providing United Alloy with the land grant and the city also has a tax abatement component with an average value of 42% over that five-year period,” Schneuker said. “The proposed incentive package will help secure the job creation payroll associated with the jobs here to the city of Seguin.”

United Alloy chose Seguin for its location because of the city’s projected growth and supply of able workers, Schneuker said.

“Seguin’s strategic location, skilled workforce and pro-business government make us an attractive option for businesses looking to expand,” Schneuker said. “We are extremely excited to announce this project and look forward to a long and mutually-beneficial relationship with United Alloy.”

Joe Martin is a staff writer for the Seguin Gazette. You can e-mail him at joe.martin@seguingazette.com . Felicia Frazar is the managing editor of the Seguin Gazette. You can e-mail her at felicia.frazar@seguingazette.com .

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(2) comments

Shepard

So what exactly did we give up to bring this business to Seguin? Considering the statement “One of their biggest suppliers here in this area is Caterpillar.....”

Why would we provide any incentives such as tax abatements for someone to move into the area? The drive for ‘growth’ is not always of benefit to the community where it occurs.

I hope that we cease making these deals with incoming businesses.

We welcome you if you wish to establish a business locally, but no one deserves to get a cut to do so.

Dldmny

Stupidity reigns ... have you noticed the mountain of scrap material visible from Hwy 90 behind the concrete pipe plant?

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