Iowa announces $400 million in state-sponsored manufacturing

Sub-Zero Group Inc., Cambrex Charles City, Inc., Rosenboom Machine & Tool, Inc., Magna International Inc., and Feldmeier Equipment will all receive state grants from the state of Iowa for expansions, the governor’s office and Iowa Economic Development Authority announced May 15.

The manufacturing grants are distributed by the state’s Business Incentives for Growth Program and go towards two new expansions and three new facilities.

Sub-Zero Group will spend $196 million, including $9 million in tax credits, to build a new refrigerator assembly site to its existing Cedar Rapids, Iowa site. Charles City pharmaceutical company will expand its pharmaceutical ingredients business, spending $150 million on a $10 million tax credit and creating an estimated 104 jobs. Rosenboom Machine & Tool will build a new $19.07 million factory for engineered hydraulic cylinders with $1 million in tax credits to create 78 jobs; Magna International will spend $10.7 million to create 27 jobs on a $315,000 tax credit, and Feldmeier Equipment said it would spend $20.8 million, including $688,000 in tax credits, at its pressure vessels manufacturing business.

What people are saying

“The BIG program is delivering exactly what it was designed to do — helping companies invest, expand and create high-quality jobs across the state,” said Gov. Kim Reynolds. “From pharmaceuticals and food production to aerospace materials and advanced manufacturing, these projects reflect the confidence companies have in Iowa’s workforce, business climate and long-term economic momentum. Iowa continues to prove that when government and industry work together, we can compete and win.”