Sequin: Maruichi Stainless Tube Texas Corporation to Build $75 Million Facility
Feature Photo: Aerial view of where the Maruichi Stainless Tube Texas Corporation will build its 125,000 square foot state-of-the-art facility. Image: Seguin Economic Development Corporation/Facebook
Sequin (Guadalupe County) — The Seguin Economic Development Corporation (SEDC) have announced that Maruichi Stainless Tube Texas Corporation has chosen the city to build its 125,000 square foot state-of-the-art manufacturing facility.
Maruichi expects to break ground on the project in the first quarter of 2023, with operations commencing by the first quarter of 2024.
The project will represent a total capital investment of $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 Corporation is a subsidiary of Maruichi Stainless Tube Co., LTD. which is headquartered in Shimonoseki, Japan, a group company of Maruichi Steel Tube Co, Ltd,.
Since 1959, the Maruichi Stainless Tube Co., LTD has produced high-quality seamless, stainless-steel pipes and tubes fabricated through the hot extrusion process and cold drawing process. Products produced by the company are used in power plants, the chemical industry, the semiconductor industry, hydrogen gas stations, the automotive industry and for structural machinery.
“Maruichi is very excited to expand our manufacturing operations in Seguin, Texas,” said Takashi Onishi, president for Maruichi Stainless Tube Co., LTD. “Strategic location, access to a skilled workforce, and the partnership and genuine support we’ve received from the SEDC Board of Directors, the Seguin City Council, and City Staff helped solidify Maruichi’s decision to locate this project in Seguin. We look forward to contributing to the betterment of the City’s economy and becoming the newest member of the business community.”
Maruichi Stainless Tube Texas Corporation’s future Seguin facility will produce seamless stainless steel precision tubes to support customers in the semiconductor industry. The demand for stainless steel precision bright annealed (BA) 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 United States from multiple construction projects for large-scale semiconductor manufacturing plants.
“We are delighted that Maruichi has decided to build their new manufacturing facility in Seguin, Texas. This project will help create excellent employment opportunities for our residents and help grow and diversify our economic base. We are proud that they have chosen to do business in the City of Seguin,” said Seguin Mayor Donna Dodgen.
Maruichi will build their future Seguin facility on a 33-acre site to be purchased from the SEDC. The site is situated between 8th Street and Guadalupe Street, just south of Interstate 10, within the Rio Nogales Industrial Park. The SEDC Board of Directors and the Seguin City Council approved a purchase and sale agreement during meetings held on Sept. 6. The SEDC Board of Directors and Seguin City Council also 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.
“Maruichi’s investment will help diversify and strengthen Seguin’s rapidly growing manufacturing industry,” said Josh Schneuker, executive director of the Seguin Economic Development Corporation. “Economic development is a team sport, and today’s announcement would not be possible if it were not for the collaboration between the SEDC, the City, and our regional partner greater:SATX. The hard work over the past few months helped secure this project to the City of Seguin, Guadalupe County and the San Antonio Region.”
VBX Project ID: 2022-637A
Edited from news release.