Home » Siemens to build new $20-million plant in Illinois
Siemens to build new $20-million plant in Illinois
Elgin, Ill., June 26 - Due to the increasing demands for alternative and renewable energy sources, Siemens Energy & Automation announced today that it would be investing more than $20 million to develop a second plant in Elgin, Ill., for its Drives Technologies business. Siemens is the largest producer of wind turbine gear drives in the United States. The expansion will increase production, enabling the company to meet the expectations of its customers.
In Elgin, Siemens designs and manufactures mechanical gear drives for the wind industry as well as for the cement, coal and minerals, and oil and gas industries. The new plant, expected to be completed in March 2009, will create approximately 300 new jobs in production and 55 new office jobs over the next three to four years; the plant in Elgin currently employees 150 people. A groundbreaking ceremony was held on June 25, 2008 for the new plant.
"Siemens is committed to providing technologies that promote energy efficiency and reduce costs," said Anne Cooney, vice president of the Power Conversion Division for Siemens Energy & Automation. "Combined with the expertise and product knowledge we have in Elgin, the new facility will enable Siemens to increase production of our mechanical drives to help our customers meet the growing demand for sustainable energy resources."
The State of Illinois and the City of Elgin provided a number of incentives to Siemens to help secure the investment including a Wind Energy Development Grant and Employer Training Investment Program job training funds.
"The City of Elgin is thrilled to help facilitate the Siemens' expansion," said Elgin Mayor Ed Schock. "Elgin is attracting many global and international companies that are developing emerging technologies that will have a direct impact on the future. The Siemen's expansion is an example of that."
Siemens will be investing more than $20 million in building infrastructure to support the new plant for production, in addition to the cost of a 15-year lease for the new building. The new plant will be used for the assembly and testing of mechanical gear drives. The existing plant will be maintained by Siemens to manufacture the gears and components that will be assembled and tested in the new plant. It will also house the services and repairs business.
Siemens companies employ approximately 7,000 people in 40 locations throughout Illinois.
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