Global railcar leasing company GATX Corporation will expand its Terre Haute, IN operations into a full-scale Midwest maintenance hub, creating up to 59 new jobs by 2020. The Chicago-based company will invest up to $38.5 million into its 104-acre location, making it the company’s only full-scale service center in the Midwest and its fourth largest center in the nation.
“The combination of Indiana’s location, rail network and skilled labor provide the right elements to pursue growth at our Terre Haute, Indiana, operations,” said James Chapman, vice president of GATX’s North American service centers. “The Midwest has the maintenance demand to support the growth and expanding our operations in Indiana would increase our support for our customers. Our Terre Haute operations have partnered with local high schools, local job fairs and have had success finding skilled labor within the community. This makes Indiana an attractive place to grow.”
Renovations are scheduled to begin later this year, and the company plans to add up to 30 new railcar maintenance spots, which will allow it to increase its capacity to service up to 1,100 railcars annually. The company also expects to construct new finishing and interior lining operations, expand its administrative offices and build new rail infrastructure.
GATX, which leases railcars to a diverse mix of global companies, currently has more than 121,000 railcars in its North American fleet, serving more than 900 customers. GATX is expanding its Indiana operations to capitalize on Terre Haute’s location within the Midwest rail network. In addition, the expansion will allow GATX to complete more of its railcar maintenance in-house.
GATX currently employs 35 in Indiana at its location in Terre Haute and its mobile maintenance unit in Crown Point. The company established its presence in Terre Haute in 1973, and upon completion of this expansion project, it will become a major maintenance center along with the company’s existing operations in Texas, Georgia, California and the Canadian provinces of Quebec, Saskatchewan and Alberta.
“In Indiana, logistics means more than just roads and bridges,” said Jim Schellinger, Indiana Secretary of Commerce. “It also means having businesses here like GATX that can provide the needed support for transporting goods to customers across the country and around the world. Indiana is perfectly situated to be GATX’s newest major maintenance hub because of our central location and our best-in-the-Midwest business climate.”
The Indiana Economic Development Corporation offered GATX Corporation up to $400,000 in conditional tax credits based on the company’s job creation plans. These incentives are performance based, so until employees are hired, the company is not eligible to claim incentives. The city of Terre Haute will consider additional incentives at the request of the Terre Haute Economic Development Corporation.
More than 5,700 transportation and logistics establishments call Indiana home, according to Conexus Indiana.
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