Editor’s note: Click on links for photos and video of the expansion.

FRANKFORT, KY - On May 21, 2024, Gov. Andy Beshear announced an exciting next step for a company within Kentucky’s thriving manufacturing sector as Flottweg Separation Technology Inc., a producer of centrifuges and other liquid-solid separation equipment, celebrated the grand opening of its newly expanded warehouse facility in Boone County, a $1.75 million investment creating 12 high-wage Kentucky jobs.

“When we talk about companies continuing to invest and provide job opportunities for the communities they serve, Flottweg is a shining example,” said Gov. Beshear. “Kentucky’s manufacturing sector is seeing incredible growth, and that’s because quality companies are continuing to choose the commonwealth to locate and expand their operations. I want to thank Flottweg’s leadership for their continued investment in the commonwealth and congratulate the company, as well as Boone County, on this exciting milestone and the opportunities it will bring.”

In May 2022, Flottweg leaders announced a reinvestment in the company’s Northern Kentucky operation, which assembles and repairs machinery for the company’s existing customer base. The newly finished expansion – the company’s fourth since 2011 – came in response to rising demand and will accommodate increased parts manufacturing. Additionally, the grand opening will see the company’s new 15,000-square-foot warehouse facility on Flottweg’s existing campus on Toebben Drive become operational.

“Flottweg has nearly two decades of established business in the United States,” said Dan Ellis, Flottweg’s American business unit president. “Having installed over 12,000 machines globally, we are sure that with this expansion we can continue to grow the U.S. market as we have thus far. Making sure that our customers are successful is our primary goal. We look forward to using this space to further ensure top quality is delivered to every facility.”

“We live and work in Northern Kentucky, and it’s a personal highlight that we get to add more highly skilled, well-paid positions to our staff,” said Rob Rhea, Flottweg’s U.S. managing director. “We are building a community of centrifuge caregivers that treat every machine as their own. I encourage everyone to check our website regularly for open positions.”

Established in 2006, Flottweg Separation Technology is a subsidiary of Flottweg SE, founded in Germany in 1932. Flottweg SE has grown into a global technology leader producing centrifuges, belt presses and separators used for liquid-solid separation. The company’s products support a range of industries, including the mining, petrochemical, chemical, pharmaceutical, food and beverage and machining sectors. Its products also have environmental uses, including treatment of wastewater or oil sludge.

Last month, Gov. Beshear, First Lady Britainy Beshear, Cabinet for Economic Development Secretary Jeff Noel and other members of the staff visited Germany to meet with companies and trade organizations to determine future investment and job-creation opportunities in the state. The visit included attendance at the Hannover Messe trade fair and speaking engagements at the Hanse Lounge in Hamburg and IHK Düsseldorf, as the Kentucky delegation met with the German Chamber of Commerce and Industry and existing Kentucky employers and potential prospects.

Boone County Judge/Executive Gary Moore congratulated Flottweg’s leaders on the completion of its expansion at the company’s North American headquarters and manufacturing operations: “It’s exciting to see a company continue to grow and invest in its operations in Boone County. This is Flottweg’s fourth expansion since locating in Northern Kentucky in 2008. They now have more room to test their separation technology equipment, and capacity to create new, high-quality jobs.”

BE NKY Growth Partnership CEO Lee Crume thanked Flottweg’s leaders for continuing to invest in their U.S. manufacturing operations in the region: “Northern Kentucky is home to more than 30 German-owned primary industry companies, significantly manufacturers. Global companies continue to locate and expand manufacturing and headquarters operations in Northern Kentucky because of our ideal location and access to business talent.”

Flottweg’s investment and job creation build on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $30.6 billion in announced investments, creating more than 52,700 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history.

The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and INFAC North America’s $53 million investment in Taylor County, among others.

The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch Ratings and S&P Global Ratings, and Moody’s Investors Service upgraded Kentucky’s credit outlook from stable to positive.

In March, Site Selection magazine ranked Kentucky third nationally and first in the South Central economic development projects per capita in its 2023 Governor’s Cup rankings. In April, Site Selection placed Kentucky second in the South Central region and top 10 nationally in its 2024 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.

Gov. Beshear announced a “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.

To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in March 2022 preliminarily approved an incentive agreement with the company under the Kentucky Business Investment program.

KEDFA approved Flottweg for additional incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

In addition, Flottweg can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

For more information on Flottweg, visit Flottweg.com. For a brief overview of the company’s Kentucky subsidiary, click here.

A detailed community profile for Boone County can be viewed here.

Information on Kentucky’s economic development efforts and programs is available at CED.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.