Manufacturer plans $97M expansion, 150 jobs in Shelbyville

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A Japan-based manufacturer plans to spend $97.5 million to expand its Shelbyville operations, adding up to 150 employees by the end of 2018, the company announced Wednesday.

Ryobi Limited said it plans to purchase a 350,000-square-foot building next to the existing corporate campus for its Ryobi Die Casting USA subsidiary at 800 W. Mausoleum Road.

The acquisition will expand the company’s operations in Shelbyville to four buildings totaling 1 million square feet. More than 860 people are already employed at the site.

Ryobi said the expansion will allow its structural and engine block die casting operations to process 500,000 castings annually by 2018. The company plans to open its new facility by late 2017.

The company, which employs 8,900 people globally, plans to hire additional manufacturing and management staff over the next 18 months.

The Indiana Economic Development Corp. said it offered Ryobi up to $775,000 in conditional tax credits and up to $75,000 in training grants based on its plans. The incentives hinge on the company’s ability to meet hiring and investment commitments.

“Ryobi Die Casting is a world-leading manufacturer of powertrain and structural/body-in-white castings, said Tom Johnson, president of Ryobi Die Casting USA, in a written statement. “This investment clearly shows our commitment to the ever-expanding light weight and fuel efficient markets. Our company considered options on where to locate this expanded production, but we ultimately chose our Indiana facility because of the high-quality work our team performs here, as well as the excellent business environment that continues to support our growth.”

Ryobi launched production in Shelbyville in 1985. The company has 12 manufacturing facilities in six countries, but only one in the United States. In Indiana, Ryobi produces transmission cases, housings, engine parts and structural parts for Ford, General Motors, Hyundai, Honda and Toyota.

The company's 2015 sales reached $2 billion, with the majority of its revenue coming from its die cast division, the company said.

 

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