Logan Aluminum announced that its upcoming Russellville facility will join Kentucky’s growing ranks of automotive suppliers. The development will help secure the commonwealth’s position among the world’s top aluminium production centers.
“Strong, lightweight materials are quickly becoming standard in vehicle production, and Logan Aluminum’s expanded operations contribute to Kentucky’s position as a global leader in the aluminium industry,” Gov. Steve Beshear said during a recent facilities expansion announcement.
Kentucky’s aluminium industry is gaining strength with every passing day. Nationally, it ranks first in aluminium production capacity, said Mandy Lambert, business development commissioner at the Cabinet for Economic Development. It leads the country in aluminium jobs and economic impact per capita, according to 2013 national aluminium Association statistics.
the manufacturing and wholesaling operations of the aluminium industry in Kentucky are responsible for $3.8 billion annually in direct economic output, the Aluminum Association reports. When supplier and induced impacts are factored in, aluminium’s effect grows to $7.01 billion annually, accounting for 4.04 percent of the gross state product.
Kentucky currently has 151 aluminium-related facilities – from smelters and mills to manufacturers of end-user goods - that employ 18,201 direct employees, according to the Cabinet for Economic Development.
In 2014, there were 18 aluminium-related new or expanding facilities announcements in Kentucky, accounting for more than $577 million in investment, said Jack Mazurak, communications director for the cabinet.
Logan Aluminum has long produced rolled aluminium sheet for the can market, especially soft drinks. The $290 million investment Logan announced will expand and upgrade that facility, add 190 jobs, increase capacity and allow it to produce heavier gauge materials, including auto and truck body sheet.
The prime driver reason for all this growth is the automotive industry’s increasing demand for aluminium body frame, which is lighter than steel.
