E. Hofmann Packaging invests $43 million to open plastics manufacturing facility in Kentucky
E. Hofmann Packaging has announced plans to open a plastics manufacturing facility in Madisonville, Kentucky. The company, which produces rigid plastic packaging, is investing $43M into the project and creating 164 full-time jobs.
To meet growing U.S. demand, E. Hofmann Packaging will construct a 100,000-square-foot production facility equipped with new machinery, automation systems, molds, and related equipment. Construction is expected to begin this year and conclude in 2026. The Madisonville location will serve as the company’s second production facility and first operation in the United States.
To support the project, the Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved a 15-year incentive agreement under the Kentucky Business Investment program. The agreement includes up to $2.3M in tax incentives, based on the company’s investment and annual targets that include the creation and maintenance of 164 full-time Kentucky jobs with an average hourly wage of $28 including benefits. The company was also approved for up to $300K in additional incentives under the Kentucky Enterprise Initiative Act (KEIA), which allows for the recovery of sales and use tax on eligible expenses.
E. Hofmann Packaging may also access Kentucky’s workforce service resources, including recruitment support, job placement services, customized training programs, and training incentives.
What people are saying
In a recent quote, Paul Kalia, president and CEO of E. Hofmann Plastics, said, “We are thrilled to announce the opening of our new state-of-the-art factory in Madisonville, marking a significant milestone as our first U.S. facility. We are deeply honored to join this vibrant community and tap into its talented workforce. The enthusiastic support and collaboration from local and state authorities have been exceptional, making this expansion a reality. This facility strengthens our commitment to becoming a leading player in the North American market, and we look forward to building lasting relationships and driving economic growth in Madisonville.”
Andy Beshear, Governor of Kentucky, added, “Team Kentucky’s manufacturing sector continues to play a major role in our state’s soaring economy. Once again, a quality international company has chosen to expand and do business in our New Kentucky Home, taking advantage of our unique location and talented workforce. I want to thank the leadership of E. Hofmann Packaging for their belief in this great state and look forward to their future success in Hopkins County.”
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