April 24, 2019

Primetals begins construction of $28M Sutton facility

Photo | Courtesy
A rendering of Primetals' facility in Sutton
Photo | Zachary Comeau
Primetals executives gather with state and local officials for a groundbreaking ceremony at the company's $28 million facility.

Primetals Technologies executives along with state and local officials formally kicked off the construction of the U.K-based company's 183,000-square-foot metal mill manufacturing facility in Sutton.

The facility, according to Michael Eldredge, vice president of the company's mini mills and long rolling division located in Worcester, will be the largest single manufacturing operation in the U.S.

The $28-million facility located in an industrial park will be a consolidation of the company's two Worcester facilities, one of which is located in an aging building on Crescent Street. The last major renovation of that facility, built in 1888, was in the 1950s, Eldredge said.

In prepared remarks, Eldredge said the project began as a simple renovation of office space in Worcester.

"Then we ended up here, he said.

About 275 employees will be based in Sutton, which is a slight decrease from the employees spread across the two Worcester locations. Some of those jobs will moved to the company's location in Ohio.

The project was aided by a 15-year real estate tax reduction of 67% to see $826,755 in revenue go to the town over the length of the agreement.

The state pitched in with a $2.25-million MassWorks grant for the construction of a gas pipeline the company needed for the project.

Primetals considered nearly 100 locations, including many in Worcester, but company officials have said there were no suitable ready-to-build sites in the city.

Satoru Iijima, chairman and CEO of the company, said the company has endured challenging market conditions to become one of the leading partners for the metals industry.

"This facility we build here will support such collaboration and help us continue our long tradition of innovation in the metals industry," Iijima said.

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