Key Tronic Corporation Expands Operations in Arkansas
Key Tronic Corporation, a recognized leader in electronic manufacturing services (EMS), is poised to enhance its operations significantly with a new expansion in Arkansas. The company plans to invest over $28 million to establish its primary manufacturing and research and development facility in Springdale, which is expected to generate more than 400 new jobs over the next five years.
In a recent statement, Key Tronic's CEO, Brett Larsen, expressed enthusiasm about the company's commitment to strengthening its U.S. manufacturing operations. "The new center of excellence in Springdale represents our dedication to providing cutting-edge technology alongside the capacity necessary for navigating our anticipated growth," he remarked. With a long-standing history in Arkansas, the company is excited to deepen its roots in the region known for its supportive business environment.
Governor Sanders also highlighted the importance of investing in education and training to attract firms like Key Tronic to the state. Key Tronic's decision to shift its existing Arkansas operations to a more expansive facility at 601 W Apple Blossom Avenue exemplifies this commitment to workforce development and economic growth.
Creation of Jobs and Economic Impact
The relocation to Springdale marks an approximate 40 percent increase in the company’s U.S. production capacity. This expansion not only enhances the operational output of Key Tronic but also significantly contributes to the local economy by creating substantial employment opportunities.
Mattie Crossland, Director of Real Estate, shared insights on the development plans, noting, "Crossland’s vision for a top-tier facility aligns perfectly with Key Tronic's operational needs. This investment, part of a larger business park geared towards modern industrial practices, signals our commitment to fostering economic growth in Springdale." This kind of development fosters an environment where both businesses and communities can thrive.
Community Support and Local Economy
The expansion has been welcomed by local leaders, including Clint O’Neal, the Executive Director of the Arkansas Economic Development Commission, who stated that Key Tronic’s growth underscores the region's dedication to supporting manufacturing. The strategic focus on enhancing local jobs aligns closely with the ongoing efforts to drive economic development across Arkansas.
Springdale’s mayor, Doug Sprouse, commended the decision, portraying it as an endorsement of the city's skilled workforce and vibrant economy. He emphasized the positive impact such investments have on the community, reinforcing Springdale’s appeal as a center for industry and innovation.
Key Tronic's Vision for the Future
As Key Tronic embarks on this exciting journey, they continue to underscore the importance of collaboration. Bill Rogers, president and CEO of the Springdale Chamber of Commerce, noted that the cooperative efforts between the region's leadership and local business sectors played an essential role in facilitating this development. The community's proactive approach and supportive leadership have made it a prime location for sustainable business growth.
Looking ahead, Nelson Peacock, president and CEO of the Northwest Arkansas Council, reiterated that this expansion not only highlights the region's robust workforce but also its pro-business reputation, reinforcing its stature as a desirable destination for electronics manufacturing and innovative growth.
About Key Tronic Corporation
Founded in 1969, Key Tronic Corporation is a leading contract manufacturer that provides a range of design and manufacturing services from various locations, including the United States, Mexico, China, and Vietnam. The company serves multiple original equipment manufacturers and is committed to delivering top-notch engineering services and assembly, alongside reliable distribution support.
Key Tronic has maintained operations in Arkansas since 1985, showcasing a long-standing commitment to the local economy and community engagement. The company's investments not only bolster its growth prospects but also support the health of the workforce and economy in the regions it operates.
Frequently Asked Questions
What is the primary reason for Key Tronic's expansion in Arkansas?
The expansion aims to increase production capacity and meet the growing demand for electronic manufacturing services, creating over 400 jobs.
Where will the new Key Tronic facility be located?
The new facility will be situated at 601 W Apple Blossom Avenue in Springdale, Arkansas.
How much is Key Tronic investing in the new facility?
Key Tronic Corporation is investing over $28 million in establishing its new manufacturing location.
What impact will this expansion have on the local economy?
The expansion is expected to significantly boost the local economy by creating new jobs and supporting local services through increased operational activities.
Who can I contact for more information about Key Tronic?
You can reach out to Anthony G. Voorhees, the CFO of Key Tronic Corporation, or Michael Newman in Investor Relations at (509) 927-5345 and (206) 729-3625, respectively.
