- TST of Portage to develop new manufacturing facility, create 14 jobs in city of Portage
- Forming USA to establish sales and manufacturing facility, create 50 new jobs in Township of Schoolcraft
LANSING, Mich. – Recently, Governor Gretchen Whitmer announced two economic development projects in Southwest Michigan, building on the county’s continued growth and prosperity. In Portage, TST Portage is redeveloping an existing manufacturing facility and building a new facility, and in the Township of Schoolcraft, Forming USA is building a new sales and manufacturing facility. In total, these two projects represent over $25 million in capital investment and the creation of 64 new jobs.
“Today’s investments in Kalamazoo County will create 64 good-paying jobs and grow our manufacturing economy,” said Governor Whitmer. “Since I took office, I’ve been focused on winning projects, investing in people, and uplifting places all across our state to help anyone ‘make it’ in Michigan. Thanks to TST of Portage and Forming USA, we can continue our manufacturing leadership and create more opportunities for workers in Portage and Schoolcraft Township. Let’s keep working together to win more jobs and investments and pursue our comprehensive economic development agenda.”
“Today is a great day for Kalamazoo County. Adding 64 good-paying jobs has a positive momentum ripple effect in the community, and we are excited for both TST of Portage and Forming USA for their commitment to the region and recognizing the value of Making it in Michigan,” said MEDC Senior Vice President of Regional Development Matt McCauley. “Investments of this size are vital to Team Michigan’s efforts and the state’s overall economic health and diversity. We are grateful to both companies and wish them nothing but continued prosperity and success.”
TST of Portage, LLC received approval of an Act 381 Work Plan to develop a new manufacturing facility with a second-level office in the city of Portage, Kalamazoo County. The project involves the partial demolition of an approximately 34,000-square-foot structure and the construction of a new, 43,000-square-foot facility in its footprint. Tenants will include Depatie Fluid Power Company and Mico-Lam with space for future tenants. This project supports the revitalization of an existing site in the community and is expected to create 14 new jobs with an average wage of $30.29, while generating $9,334,162 in total capital investment. In total, the development will catalyze approximately 106,200 square feet with the support of the Michigan Strategic Fund through the Act 381 Work Plan with an estimated value of $428,193 for eligible activities.
“Depatie is grateful to the City of Portage and TST Properties for investing in this unique development,” said Ryan Thomas, President of Depatie Fluid Power Company. “It creates a facility that supports our local customers along with flexible space for growth as our company transitions to Industry 4.0.”
TST of Portage has steadily expanded through growth and acquisitions with customers across Western Michigan and Northern Indiana. Although it presents an opportunity for growth for the company, necessitating a new manufacturing facility, the site redevelopment costs present a barrier to the project occurring in Michigan. The company considered locations in Minnesota and Indiana, but ultimately chose Michigan as a result of the state’s support. The company also received local support consisting of the local portion of the Brownfield TIF, valued at $526,300 and an Industrial Facilities Tax abatement (“PA 198”) valued at $808,669.
“Brownfield incentives are so catalytic to the community as they represent development that would not have occurred, and the taxing bodies still receive the same tax revenue they were getting before the improvements,” said City Manager Pat McGinnis. “Then, once the costs are reimbursed and the program is complete, the taxing bodies realize a major increase.”
For those interested in pursuing a career with Depatie Fluid Power Company, please click <HERE.>
Forming USA, LLC, a Swiss based manufacturer of cold-rolled steel profiles, is establishing a sales and manufacturing facility in the U.S. to support and expand their U.S. customer base with domestic manufacturing capabilities in the Township of Schoolcraft, Kalamazoo County.
This new facility is expected to create 50 new jobs in the region with an average hourly wage, plus benefits, substantially higher than the Regional Median Wage. The company anticipates this expansion will result in over $15 million in capital investment with the support of a $500,000 Michigan Business Development Program grant.
“Forming is extremely excited about the opportunity to open a steel roll forming manufacturing facility in Michigan. We are very grateful to Schoolcraft Township, the State of Michigan, Southwest Michigan First, and the Michigan Economic Development Corporation for their assistance in this process,” said Joel Schipper, Managing Director of Forming USA. “We look forward to continuing these strong collaborations in the future as well. It’s fantastic to be able to give back to the community, bringing jobs and continued economic growth to the area.”
The new facility will be a phased approach over a 5-to-10-year period, starting construction on a 50,000-square-foot facility on the 38-acre site in 2025 and then building on additions in future years. This space will primarily serve as steel roll forming manufacturing but will also include office space (sales, engineering, supply chain, finance, administration), warehousing, and distribution. The facility will also incorporate a rail spur to allow efficient and economical delivery of steel master coils directly into the facility.
"The decision of Forming AG, a global manufacturer of cold-rolled steel profiles, to establish their primary US manufacturing operation in Schoolcraft Township is a significant step toward driving job growth and capital investment in our region," noted Jonas Peterson, CEO of Southwest Michigan First. "We extend our gratitude to the leadership of Forming AG and the collaborative efforts of our valued partners at the Michigan Economic Development Corporation, Michigan Works Southwest!, Schoolcraft Township, and all other stakeholders involved in bringing this transformative project to the Southwest Michigan region."
For career opportunities with Forming USA, please click <HERE.>
Together, these new expansion projects leverage Michigan’s long-standing heritage of manufacturing and technological know-how to develop the innovative, high-tech products of the future. By leveraging this pedigree, cutting-edge manufacturing processes will further lead Michigan down the path of changing the way things are made in the 21st century.
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