State announces 3rd manufacturing expansion spurred by new tax credit

State announces 3rd manufacturing expansion spurred by new tax credit

By JERRY NOWICKI
& MOLLY PARKER
Capitol News Illinois
news@capitolnewsillinois.com

Gov. JB Pritzker announced another milestone Thursday in his administration’s push to expand the state’s role as a manufacturing hub in the renewable energy economy.

At a groundbreaking ceremony at a Prysmian Group manufacturing plant in Du Quoin, the administration announced the signing of the state’s third contract under a tax incentive program for renewable industries that initially became law in 2021.

Prysmian, which Pritzker described as “the largest cable manufacturer in the world,” produces cables and other products used in energy storage and distribution, renewable energy and electric vehicle charging stations. At the Du Quoin plant in southern Illinois, the company makes insulated power distribution cables that transmit energy underground and inside factories. Some of those cables feed power to companies that generate wind and solar energy, said plant manager Erik Perks.

With the help of an estimated $17.7 million in state tax credits, the Du Quoin site will expand by 100,000 square feet and add 80 new jobs, bringing the workforce to approximately 300.

“This expansion is on a scale of investment that Du Quoin has not seen in a generation,” Mayor Josh Downs said at a Thursday news conference. “So today I will take great pride in the fact that this announcement has very likely secured the economic stability of our city for the next 50-plus years.”

Insulated power distribution cables are pictured at the Prysmian Group manufacturing plant in Du Quoin.

The Du Quoin plant was built in 1965 and is the largest employer in the town of 5,800 people, according to Downs. Located between Carbondale and Mount Vernon, Du Quoin was historically a thriving coal mining and railroad town, though it has seen steady population losses over the past century, like much of the region. It is best known today for the Du Quoin State Fairgrounds built atop reclaimed mine land and the prestigious horse races that it has brought to town.

Previously known as General Cable, the facility was acquired by Prysmian in 2018. Most workers at the plant are part of the Teamsters Local 50 union, officials noted.

The Italian company has its global headquarters in Milan and North American headquarters in Highland Heights, Kentucky. It plans a near-$64 million investment at its Du Quoin facility, one of its 28 plants located in North America.

“We had alternatives, but the government, the territory helped us … to make the decision to put the money here,” Prysmian CEO Andrea Pirondini said of investing in the Du Quoin plant.

The incentives will come through the Reimagining Energy and Vehicles Act, a tax incentive program that passed the General Assembly nearly unanimously in November 2021.

All three of the contracts the REV Act has yielded thus far have been with downstate Illinois companies. In September 2022, T/CCI Manufacturing in Decatur announced a plan to retool its Macon County plant to manufacture compressors for electric vehicles. Under the contract, the company was expected to create 50 new jobs and maintain 103 positions in order to receive $2.2 million in tax incentives.

In May, the state signed a contract with Manner Polymers, providing about $4.6 million in incentives to the company that planned to build a new factory in Mount Vernon that would create 60 jobs. That company manufactures PVC compounds, including some used in electric vehicles.

The REV Act was initially passed in the wake of the governor’s marquee energy grid decarbonization policy, the Climate and Equitable Jobs Act. Its intention was to lure electric vehicle and parts manufacturers to Illinois to help the state reach its goal of putting 1 million EVs on state roads by 2030.

The initial tax credits ranged from 75 percent to 100 percent of income tax withheld for newly created jobs and 25 percent to 50 percent for retained employees, depending on factors such as company location and the number of employees hired. A 10 percent credit for training expenses is also available.

The REV Act has been expanded multiple times since its initial passage to offer incentives to smaller manufacturers, double the length of benefits and increase available credit values for companies in underserved communities.

In February, Pritzker signed a law expanding the EV-focused tax credit to “other products essential to the growth of the renewable energy sector.”

“The incentives that we provide now – new incentives that didn’t exist before I came into office – are important in their thinking,” Pritzker said of companies’ decisions to relocate to or expand in Illinois. “We’re competing against other states – Texas and Michigan and Mississippi and all over the country.”

Pritzker said his administration often spends “weeks or months” talking to businesses to try to lure them to Illinois. Earlier this month, he led a trade mission to the United Kingdom, where he and 41 other state government and business officials spent much of their time promoting Illinois’ electric vehicle industry and its renewable energy initiatives.

“I don’t want to give away too much – those are taxpayer dollars, we’ve got to be careful with them,” Pritzker said Thursday. “But at the same time, when you put all those features together, and our transportation system, our ability to ship product all over the world from here, it’s quite attractive.”

 

Capitol News Illinois is a nonprofit, nonpartisan news service covering state government. It is distributed to hundreds of print and broadcast outlets statewide. It is funded primarily by the Illinois Press Foundation and the Robert R. McCormick Foundation, along with major contributions from the Illinois Broadcasters Foundation and Southern Illinois Editorial Association.

Leave a Comment





Local News

Marist basketball player Darshan Thomas at an XposureRuns unsigned seniors event. Photo by Xavier Sanchez

XposureRuns seeks to raise profile of high school hoops players

Spread the love

Spread the loveBy Xavier Sanchez Correspondent While some people are leaving Illinois in search of opportunities elsewhere, some are coming to the state and creating their own opportunities for themselves and others. Mustafa Sulaiman, a native of Philadelphia who now lives in south suburban Matteson, is trying to help pave the way to college for…

Red Stars goalie Mackenzie Wood makes a save in a July 20 Summer Cup match against Gotham. IMAGN photo

Gotham tops Red Stars in PKs after scoreless draw

Spread the love

Spread the loveBy Jeff Vorva Correspondent It’s rare to see the Chicago Red Stars participate in shootouts because NWSL regular-season games end in regulation, so fans got a treat on July 20. Gotham knocked off the Red Stars 5-4 on penalty kicks after regulation ended in a scoreless draw during the first round of the…

St. Rita graduate Sir Jamison Jones is ready to sign a deal with the Washington Nationals, who selected him in the 2024 MLB draft. Photo by Jeff Vorva

Players from Nazareth and St. Rita taken in 2024 MLB draft

Spread the love

Spread the loveBy Jeff Vorva Correspondent Three players from the area were selected in the 2024 Major League Baseball draft, which took place July 14-16. Pitcher Ryan Smith, who graduated from Nazareth in 2021 and ended up at Illinois-Chicago, was taken by Houston in the ninth round of the draft. Smith, who underwent Tommy John…

The Green Hills Public Library District, 10331 Interlochen Dr., Palos Hills, is hosting a Back-to-School Collection Drive from now until Friday, August 9. (Supplied photo)

Green Hills Library collecting back-to-school supplies

Spread the love

Spread the loveBy Kelly White It may still be summer but the Green Hills Public Library District is preparing students for their return to the classroom. The library, 10331 Interlochen Dr., Palos Hills, is hosting a Back-to-School Collection Drive from now until Friday, August 9. “One of my biggest goals as a librarian has always…

The Oak Lawn Public Library's “Jazz Music Legends of Oak Lawn" exhibit will be on display at the library, 9427 Raymond Ave., Oak Lawn, throughout 2024 and into the Spring of ’25, and celebrates one of the biggest high school jazz competitions in the country, the Oak Lawn Jazz Festival, which was held from 1960 to 1986 at Oak Lawn Community High School. (Supplied photos)

Oak Lawn Library hosts Jazz Music Legends of Oak Lawn

Spread the love

Spread the loveBy Kelly White The sweet sounds of jazz have filled the Oak Lawn Public Library. Patrons were invited out on April 27 for the unveiling of the library’s latest Local History exhibit, “Jazz Music Legends of Oak Lawn.” The exhibit will be on display at the library, 9427 Raymond Ave., Oak Lawn, for…

Smith Valley resident, Eloise Johnson, and Miguel Candelas, Smith Senior Living Human Resources, worked together creating her time capsule memory last Wednesday afternoon. (Supplied photo)

Smith Village residents and employees celebrate 100 years of senior living

Spread the love

Spread the loveBy Kelly White Residents at Smith Village residents and employees celebrated the 100th year of the senior living community by forecasting the future. Hundreds of Smith Village residents and employees at Smith Village, 2320 W. 113th Place, Chicago, along with community leaders and elected officials, marked the senior living community’s anniversary by looking…

A statue from a monument lies on the ground at Resurrection Cemetery in Justice. (Photo by Carol McGowan)

EF1 tornado barrels through Justice and Bridgeview

Spread the love

Spread the loveBy Carol McGowan An EF1 tornado, packing winds of 90 miles per hour, swept through Justice and Bridgeview Monday night. Village of Justice Public Works Director Joe Cekus said he knew trouble was on the way. “I was looking in the sky for rotation and I heard a train,” he said. “I quickly…

Two pickup trucks in the 7400 block of Roberts Road in Bridgeview were destroyed by fire. (Photos by Steve Metsch)

Bridgeview family loses two pickup trucks, but house is saved

Spread the love

Spread the loveBy Steve Metsch A Bridgeview family in the 7400 block of Roberts Road knows first-hand the damage weather can do. When high winds hit around 9:30 p.m. Monday as a tornado blew through Justice, a cemetery and then into Bridgeview, two power lines were brought down near their bi-level house. One line fell…

Rihanna will open her first Savage X Fenty store in Illinois at Orland Square Mall on Friday. (Photo by Allie Baar)

Rihanna to open Savage X Fenty store in Orland Park on Friday

Spread the love

Spread the loveBy Bob Bong Barbados superstar Rihanna will open her first Savage X Fenty store in Illinois on Friday morning in Orland Square Mall in Orland Park. The singer, actor and businesswoman will open the store at the mall’s lower level near the Coach store at 10 a.m. Savage X Fenty will host a…

The Village of Palos Park encouraged residents to unplug their devices for a day at part of Unplug Illinois on July 13. (Supplied photo)

Palos Park encourages residents to unplug

Spread the love

Spread the loveBy Kelly White The Village of Palos Park encouraged residents to unplug their devices for a day at part of Unplug Illinois on Saturday, July 13. The day is a state-wide effort, started in 2014, to encourage everyone to “plug into” the amazing recreational opportunities offered by local park and recreation agencies. The…

Neighbors

Marist basketball player Darshan Thomas at an XposureRuns unsigned seniors event. Photo by Xavier Sanchez

XposureRuns seeks to raise profile of high school hoops players

Spread the love

Spread the loveBy Xavier Sanchez Correspondent While some people are leaving Illinois in search of opportunities elsewhere, some are coming to the state and creating their own opportunities for themselves and others. Mustafa Sulaiman, a native of Philadelphia who now lives in south suburban Matteson, is trying to help pave the way to college for…

Red Stars goalie Mackenzie Wood makes a save in a July 20 Summer Cup match against Gotham. IMAGN photo

Gotham tops Red Stars in PKs after scoreless draw

Spread the love

Spread the loveBy Jeff Vorva Correspondent It’s rare to see the Chicago Red Stars participate in shootouts because NWSL regular-season games end in regulation, so fans got a treat on July 20. Gotham knocked off the Red Stars 5-4 on penalty kicks after regulation ended in a scoreless draw during the first round of the…

St. Rita graduate Sir Jamison Jones is ready to sign a deal with the Washington Nationals, who selected him in the 2024 MLB draft. Photo by Jeff Vorva

Players from Nazareth and St. Rita taken in 2024 MLB draft

Spread the love

Spread the loveBy Jeff Vorva Correspondent Three players from the area were selected in the 2024 Major League Baseball draft, which took place July 14-16. Pitcher Ryan Smith, who graduated from Nazareth in 2021 and ended up at Illinois-Chicago, was taken by Houston in the ninth round of the draft. Smith, who underwent Tommy John…

The Green Hills Public Library District, 10331 Interlochen Dr., Palos Hills, is hosting a Back-to-School Collection Drive from now until Friday, August 9. (Supplied photo)

Green Hills Library collecting back-to-school supplies

Spread the love

Spread the loveBy Kelly White It may still be summer but the Green Hills Public Library District is preparing students for their return to the classroom. The library, 10331 Interlochen Dr., Palos Hills, is hosting a Back-to-School Collection Drive from now until Friday, August 9. “One of my biggest goals as a librarian has always…

The Oak Lawn Public Library's “Jazz Music Legends of Oak Lawn" exhibit will be on display at the library, 9427 Raymond Ave., Oak Lawn, throughout 2024 and into the Spring of ’25, and celebrates one of the biggest high school jazz competitions in the country, the Oak Lawn Jazz Festival, which was held from 1960 to 1986 at Oak Lawn Community High School. (Supplied photos)

Oak Lawn Library hosts Jazz Music Legends of Oak Lawn

Spread the love

Spread the loveBy Kelly White The sweet sounds of jazz have filled the Oak Lawn Public Library. Patrons were invited out on April 27 for the unveiling of the library’s latest Local History exhibit, “Jazz Music Legends of Oak Lawn.” The exhibit will be on display at the library, 9427 Raymond Ave., Oak Lawn, for…

Smith Valley resident, Eloise Johnson, and Miguel Candelas, Smith Senior Living Human Resources, worked together creating her time capsule memory last Wednesday afternoon. (Supplied photo)

Smith Village residents and employees celebrate 100 years of senior living

Spread the love

Spread the loveBy Kelly White Residents at Smith Village residents and employees celebrated the 100th year of the senior living community by forecasting the future. Hundreds of Smith Village residents and employees at Smith Village, 2320 W. 113th Place, Chicago, along with community leaders and elected officials, marked the senior living community’s anniversary by looking…

A statue from a monument lies on the ground at Resurrection Cemetery in Justice. (Photo by Carol McGowan)

EF1 tornado barrels through Justice and Bridgeview

Spread the love

Spread the loveBy Carol McGowan An EF1 tornado, packing winds of 90 miles per hour, swept through Justice and Bridgeview Monday night. Village of Justice Public Works Director Joe Cekus said he knew trouble was on the way. “I was looking in the sky for rotation and I heard a train,” he said. “I quickly…

Two pickup trucks in the 7400 block of Roberts Road in Bridgeview were destroyed by fire. (Photos by Steve Metsch)

Bridgeview family loses two pickup trucks, but house is saved

Spread the love

Spread the loveBy Steve Metsch A Bridgeview family in the 7400 block of Roberts Road knows first-hand the damage weather can do. When high winds hit around 9:30 p.m. Monday as a tornado blew through Justice, a cemetery and then into Bridgeview, two power lines were brought down near their bi-level house. One line fell…

Rihanna will open her first Savage X Fenty store in Illinois at Orland Square Mall on Friday. (Photo by Allie Baar)

Rihanna to open Savage X Fenty store in Orland Park on Friday

Spread the love

Spread the loveBy Bob Bong Barbados superstar Rihanna will open her first Savage X Fenty store in Illinois on Friday morning in Orland Square Mall in Orland Park. The singer, actor and businesswoman will open the store at the mall’s lower level near the Coach store at 10 a.m. Savage X Fenty will host a…

The Village of Palos Park encouraged residents to unplug their devices for a day at part of Unplug Illinois on July 13. (Supplied photo)

Palos Park encourages residents to unplug

Spread the love

Spread the loveBy Kelly White The Village of Palos Park encouraged residents to unplug their devices for a day at part of Unplug Illinois on Saturday, July 13. The day is a state-wide effort, started in 2014, to encourage everyone to “plug into” the amazing recreational opportunities offered by local park and recreation agencies. The…