Maruichi Stainless Tube to Build Plant in Seguin in Texas

Maruichi Stainless Tube Texas Corporation will build its 125,000-square-foot manufacturing facility in Seguin in Texas in US. Maruichi Stainless Tube Texas’s future Seguin facility will produce seamless stainless steel precision tube to support customers in the semiconductor industry. The demand for stainless steel precision Bright Annealed tubes used for semiconductor manufacturing is significantly increasing, due to global increase in semiconductor demand. The Seguin facility will help Maruichi further meet demand in the US from multiple construction projects for large-scale semiconductor manufacturing plants.Maruichi Stainless Tube Texas ShareholdersMaruichi Stainless Tube - 42.5%,Maruichi Steel Tube - 37.5%Production Capacity: Approximately 90,000 units per monthMaruichi will build the new facility on a 33-acre site within the Rio Nogales Industrial Park purchased from the Seguin Economic Development Corporation. The SEDC Board of Directors and Seguin City Council approved a Performance Based Cash Grant formalized through a Performance Agreement. Maruichi is required to meet capital investment, job creation, and payroll performance benchmarks over the term of the agreement in order to realize the SEDC incentive.The company expects to break ground on the project early next year, with operations commencing by the first quarter of 2024. The project will represent a total capital investment of USD 75 million and will result in the creation of at least 106 new jobs over a two year ramp-up period.Maruichi Stainless Tube Texas is a subsidiary of Japan-based Maruichi Stainless Tube, a group company of Maruichi Steel Tube. The company produces high-quality seamless, stainless steel pipes and tubes fabricated through the hot extrusion process and cold drawing process. These products are used in power plants, the chemical industry, the semiconductor industry, hydrogen gas stations, automotive industry and for structural machinery.