KINSTON – European manufacturer Grupporeco will establish its first manufacturing facility in North America in Lenoir County, creating 110 jobs with an average wage of $39,854.
The manufacturer of household appliance components will invest some $28 million in the project, much of it which must be invested prior to the company’s newly formed U.S. subsidiary, RECO U.S. Inc., in order to qualify for a state incentive package approved earlier today by the state’s Economic Investment Committee.
Under the terms of the deal, the new positions are expected to bring $4.3 million of annual payroll growth to the region, an estimate from the North Carolina Department of Commerce noted.
That deal, a Job Development Investment Grant (JDIG), follows a 12-year term. During that term, the Department of Commerce estimates that the project is will grow the state’s economy by more than $339 million. The agreement awarded to the company authorizes the potential reimbursement to the company of up to $918,000 during the term, the Department of Commerce confirmed in a statement.
According to the statement, Grupporeco produces and distributes coated dishwasher baskets, steel wire and tube components, aluminum tubing, and components for major household appliance companies.
Grupporeco’s new subsidiary in Lenoir County, RECO U.S. Inc., will allow product development and manufacturing closer to its U.S. clients, consistently contributing to the development of a stronger local supply chain.
“The U.S. is a key market for our growth and we look forward to cooperating intensively to make Grupporeco’s arrival a success for our company and the local stakeholders,” said Grupporeco and RECO US Inc. CEO and President Vincenzo Locatelli in a statement.
The company will also receive local incentives of about $1.2 million, according to the presentation of the JDIG proposal at the meeting of the Economic Investment Committee.
The job targets include a goal of creating 110 new positions by the end of 2026, according to the terms of the deal.