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JOHNSON CITY, Tenn. (WJHL) — A German-headquartered plastics company that supplies Washington County Industrial Park’s ebm-papst will bring at least three dozen jobs to Johnson City, most of them by the first half of 2024.
“When we found out that they (ebm) were expanding and are expanding again, to be moving close to one of our main customers is an exciting opportunity,” PVS Plastics Technology Corp. CEO Rich Tursic told News Channel 11.
PVS, founded in Niedernhall, Germany in 1976, has operated in Huber Heights, Ohio since 1976. The group is currently expanding to its maximum capacity on its footprint there, Tursic said, and its business in the U.S. is growing.
PVS’s “core competencies” are in producing rotors and stators (the stationary part of a rotary system like an electric motor). The company has a relatively new “two shot” production line that allows it to produce a product with two types or colors of plastic.
“Because of this ability we’re having many inquiries coming our way,” Tursic said.
PVS is converting space at what was ebm-papst’s initial location on Wesinpar Drive as the German maker of cooling equipment built a new facility in the industrial park. Tursic said they’re investing $6 to $7 million on equipment in the short term.
Johnson City has approved a Payment in lieu of Tax (PILOT) agreement that will see PVS pay zero on their personal property (equipment) for the first seven years as long as the company meets job targets. Those jobs would have to pay at least $27.08 an hour and be full-time or partial taxes would have to be paid, as they would if the job number targets aren’t reached.
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PVS will pay full taxes on its 54,000-square-foot facility on Wesinpar Drive.
In addition to a workforce with a number of people experienced in plastics work, Tursic said the tax break — and incentives from a utility (either TVA or BrightRidge) and the state of Tennessee — made Johnson City an attractive option for the growing company.
“There was a competitive bid and we were looking at other states,” he said. “We got some nice economic incentives … and everyone we worked with was very helpful.”
He said the company believes it will be able to attract talent and quickly grow outside its main relationship with PVS.
“We have inquiries already and we’re very hopeful that some projects will come on board very quickly.”
Equipment will begin arriving at the Johnson City site later this month and Tursic expects workers to begin running test parts as early as September. Full production could begin before the end of the year.
