US Tsubaki Automotive, LLC President Daniel Butterfield joined by Mayor Richard Kos, State Representative Joseph Wagner, and Secretary of Housing and Economic Development Jay Ash today broke ground on the 100,000 square foot expansion of U.S. Tsubaki’s Chicopee facility.
The parent company, Tsubakimoto Chain of Osaka, Japan approved this project in April. US Tsubaki Automotive currently produces high quality timing drive systems for the top 6 North American auto manufacturers. Globally Tsubakimoto Chain has over a 30% market share in the automotive timing chain business.
The expansion includes a new Research and Development Lab, offices and additional factory floor space. Expanding Chicopee will allow US Tsubaki to grow market share in North America and provide engineering support and components to other Tsubakimoto Chain subsidiaries around the world.
Strong support from Mayor Richard Kos, the Chicopee City Council and the Commonwealth of Massachusetts was vital to US Tsubaki selecting Chicopee as the location for this expansion. The City approved a 10 year Tax Increment Financing Agreement (TIF) in addition to the $525,000 Investment Tax Credit the Baker – Polito Administration awarded. As a result, Tsubaki will invest over $11.5 Million while creating at least 35 new jobs and retaining 348 existing ones.
"This is very exciting news for the City of Chicopee. My administration worked very closely with the City Council and the Commonwealth of Massachusetts to make Chicopee the preferred location for this expansion,” said Mayor Kos. “It’s further proof that our workforce is highly capable and our business climate very competitive. We are thrilled to have Tsubaki expand here in Chicopee, creating 35 new jobs and preserving 348 good paying manufacturing jobs. The other options were Tennessee and Mexico, and Chicopee prevailed.”
“I am delighted to see U.S. Tsubaki continue to grow in the City of Chicopee,” said Representative Wagner. “The Economic Development Incentive Program is an excellent tool to spur business growth, and it illustrates our commitment to job creation and workforce expansion. The state and local partnership on this project is especially important.”