Seguin announces new manufacturing facility, 75M investment, 106 jobs

A new manufacturing company is bringing a $75 million investment and 106 jobs to Seguin.

The city of Seguin and Seguin’s Economic Development Corporation announced that Maruichi Stainless Tube Texas Corporation plans to construct a 125,000-square-foot manufacturing facility in the Rio Nogales Industrial Park on Eighth Street.

“We are delighted that Maruichi has decided to build their new manufacturing facility in Seguin,” Seguin Mayor Donna Dodgen said. “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.”

The new facility is part of parent company Maruichi Stainless Tube Co., LTD. based out of Shimonoseki, Japan. The company is known for producing seamless steel pipes and tubes that are used in various industries around the world including power plants, chemical industry, semiconductor industry, hydrogen gas stations, the automotive industry and structural machinery, a news release stated.

“Maruichi Stainless Tube Texas Corporation’s future Seguin facility will produce seamless stainless steel precision tube to support customers in the semiconductor industry,” the release read. “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.”

The city’s location and workforce are among the factors that drew Maruichi to Seguin, said Takashi Onishi, president for Maruichi Stainless Tube Co., LTD.

“Maruichi is very excited to expand our manufacturing operations in Seguin,” he said. “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.”

The business will build the facility on a 33-acre tract of land purchased from the city’s economic development corporation in the Rio Nogales Industrial Park south of Interstate 10 between Guadalupe and Eighth streets.

In addition to approving the sale of the property to Maruichi, the Seguin City Council and Seguin Economic Development Corporation approved a performance-based cash grant through a performance agreement, the release stated.

“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,” it read.

Welcoming Maruichi to Seguin is a team effort, Seguin Economic Development Corporation Executive Director Josh Schneuker said.

“Maruichi’s investment will help diversify and strengthen Seguin’s rapidly growing manufacturing industry,” he said. “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.”