Latest / Kentucky Business News / 8.28.25

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8.28.25 · Kentucky Business News

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Speaker 1: Hello. Today, I'll be reading from business sources in Kentucky,
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including the Lane Report and others from around the Commonwealth.
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Your reader today is Carolyn Brown. As a reminder, RADIOI
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is a reading service intended for people who are blind
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or have other disabilities that make it difficult to read
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printed material. I'll begin today with the Lane Report, dated
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July twenty twenty five, and our first article is titled
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Manufacturers are Making Investments by Mark Green. Kentucky's local economic
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developers had a mostly happy first half of twenty twenty five.
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Despite a chaotic national and international scene of changing trade policies,
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up and down equity markets, and dropping consumer sentiment, most
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local officials across the state see steady and investment activity,
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some say even an uptick, and are keeping their focus
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on site development and workforce training. The biggest recent project
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is Hare US Appliance Solutions four hundred and ninety million
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dollar reshoring investment in Louisville to upgrade GE Appliance Park
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and add eight hundred jobs to its existing seventy two
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hundred Chinese owned Hare will increase production capacity with what
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it told the Kentucky Cabinet for Economic Development be the
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most advanced machinery available to build the modern washer and
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dryer units that today's US households favor. Quote. Over the
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last four years, our region has seen record job growth
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and investment, said Sarah Davisher Wisdom, President CEO of Greater Louisville, Inc.
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Whose main focus is growth and recruitment of business in
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the region. Global economic headwinds are slightly cooling our region's momentum,
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but we are still on track to maintain stable growth
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in twenty twenty five and beyond. On June twenty sixth,
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members of the Kentucky Economic Development Finance Authority gave state
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support to thirteen projects totaling six hundred and seventy million
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dollars in private investment and creating one thousand, six hundred
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and eighty more jobs, mostly in manufacturing. KEDVA granted those
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thirteen private projects up to forty five million dollars in
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public incentives over the next fifteen years in the form
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of lower annual sales and worker wage tax payments to
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state and local government. KEDVA also allotted six local government
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projects seven million dollars in state money to improve industrial
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parks and other local public properties for rapid occupancy by
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commercial clients the law. Local governments are pitching in fifteen
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percent to twenty percent matches to get dollars the General
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Assembly put in the state budget for the Kentucky Product
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Development Initiative. Faster speed to market time for new projects
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is often decisive in landing investment and jobs in today's
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changing scene. Choosing Kentucky over competition from South Carolina, Alabama, Georgia, Tennessee,
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and Connecticut, Hayer decided its best move was at its
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seven hundred and fifty acre Louisville campus that has a
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seventy year track record of appliance. Building NOHOW. Louisville also
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landed a forty two million dollars and THROW energy manufacturing
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facility that will use new technology to produce advanced electrolytes
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to improve the energy density of batteries. It will be
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the first large scale US owned and operated advanced electrolyte
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production facility and will significantly enhance the safety, lifespan and
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performance of modern lithium ion battery cells. An THROW expects
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to generate one hundred and ten new jobs within a decade.
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There are other exciting opportunities for the Greater Louisville region
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to benefit from reshoring and on shoring in the future.
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Davisher Wisdom said as business decision makers begin feeling more
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certainty in the direction of the economy long term. Quote.
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While some industries continue to be impacted by macroeconomic factors
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and uncertainty that makes it difficult to predict costs and demand,
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others are continuing to grow and invest in Greater Louisville
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as our project pipeline remained steady. She said, our region
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is uniquely positioned to fare favorably during uncertain economic times
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because of our diversity of industry Quote. Momentum building across
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the western region. The region from Bowling Green through Henderson
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is also winning investments. In June, Madisonville and Bowling Green
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each landed new operations to supply packaging for manufacturers. Canadian
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plastic packaging manufacturer E. Hoffman Packaging is investing forty three
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million dollars to locate its first US operation in Madisonville
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with state incentive support. Based on expectations, it will create
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one hundred sixty four jobs. In Bowling Green, flexible packaging
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innovator valor Flex is investing twenty three point four million
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dollars to establish an advanced manufacturing plant that will create
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eighty two new jobs in the Henderson County community of Roberts.
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Tyson Foods is putting another twenty three million dollars into
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expanding the capacity and adding new equipment at its chicken
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products facility where where it currently has a staff of
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eleven hundred employees. Meanwhile, Simatomo Electric Wiring Systems will invest
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seventeen million dollars to expand its automotive wiring harness production
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in Franklin, where it will increase its number of jobs
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from thirty eight to seventy six. Steady outlook amid short
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term uncertainty, Kentucky's overall economic outlook remains strong, according to
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Terry Bradshaw, President and CEO of the Kentucky Association for
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Economic Development, a statewide professional organization. Quote. While KED members
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have observed a recent slowdown in active project leeds, Bradshaw
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said the state continues to see steady private sector investment
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in manufacturing expansions. Looking ahead to late twenty twenty five
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and early twenty twenty six, the completion of trans formative
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projects like the Blue Oval sk Battery Park and other
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gigafactory and energy investments position Kentucky for a new wave
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of growth. Though short term activity may be moderating, the
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long term investment pipeline remains robust, driven by infrastructure readiness,
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sector specific strategies, and an adaptable workforce in quote. Currently,
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ked's priority is advancing site development across Kentucky through the
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Kentucky Product Development Initiative KPDI, with thirty five million dollars
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recently awarded to communities statewide and in new round launching
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later this summer. Members are partnering closely with the Cabinet
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for Economic Development and local leaders to drive strategic, strategic
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site improvements that strengthen Kentucky's position for business investment and
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job creation quote equally imported. Horton Bradshaw said, we are
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focused on marketing both these KPDI funded sites and the
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broader assets of the Commonwealth, ensuring these investments generate meaningful visibility,
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engagement and interest from site selectors, employers, and potential workforce alike.
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Focusing on workforce and site readiness, investment and job creation
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often take months or years to materialize, and Kentucky entered
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a turbulent twenty twenty five with its long term strategies
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in production mode, bearing fruit and creating awareness. Officials at
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One East Kentucky, the Pike Folvey based economic development office
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for a nine county region are marketing a skilled workforce
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with ten thousand workers available from the coal energy sector.
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They say they are seeing an uptick in project activity
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in recent months, particularly with international prospects. Quote. Most of
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this activity seems to just be fact finding, seeing what
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sites buildings are available out there and exploring incentives, said
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One East Kentucky President CEO Colby Kirk. Quote I'm not
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seeing much in terms of decision making at this point.
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I think there's still too much volatility in the global
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economy with teriffs being implemented and pulled back in quote.
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The last thing a company wants to do is make
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a certain decision in times of uncertainty. Kirk noted. Quote
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My hope is that as trade deals are brokered and
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economic policy stabilizes, we will see more announcements, he said.
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Across the state, at Hinderson Economic Development, the primary focus
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is on supporting existing industries and expansion projects, closely followed
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by efforts in workforce development, talent attraction and industry recruitment.
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The Tyson Foods expansion and upgrade at Robard's was a
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payoff of that strategy. Quote. Our organization views the present
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economic investment activity as stable by historic norms, said Jackson Hogg,
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marketing specialist in the workforce development space. Hogg said the
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organization now hosts a manufacturing academy to introduce Henderson middle
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and high schoolers to local manufacturing career opportunities in the community.
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A new high school industrial maintenance, career and technical education
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pathway is also helping to develop local skill pools and
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ensuring talent stays in the community with several big projects
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in the recent years, including what is slated to be
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a one billion dollar piece of the state's vehicle battery ecosystem.
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The Southwestern Kentucky Economic Development Council in Hopkinsville experienced record
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amounts of capital investment in twenty twenty three and twenty
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twenty four. Quote. We have seen early success in twenty
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twenty five and expect continued growth in the next thirty
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six to forty eight months, assuming no substantial unforeseen changes
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in the national economy, etc. Said Carter Hendricks, executive director
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of s wk EDC. The strategic plan that guides swkedc's
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work includes a focus on target sector recruitment, product site development,
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strategic marketing and recruitment, business retention and expansion, and powerful
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partnerships for infrastructure, workforce and advocacy. Quote. Our region is
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concerned with the number of graduating high school students who
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are planning to enter directly into the workforce but may
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not be prepared for today's high tech manufacturing environment, Hendrick said. Quote.
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In twenty twenty two, we launched s wk Ignite to
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partner with our regional school systems to ensure students are
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more away and better prepared for manufacturing and industry opportunity
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in our service area. S w KA is also partnering
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with the Fort Campbell Transition Assistance Program or TAP, to
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help military families, including soldiers leaving the military, connect with
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local job opportunities. Position for regional growth in twenty twenty
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six and beyond. Greater Paduca Economic Development expects momentum to
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build into late twenty twenty five and early twenty twenty six,
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especially as site development progresses. Director of Operations Meg Morrow said,
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twenty twenty five has quote not been an announcement year
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for our region end quote, but is viewed as an
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opportunistic time quote, activity has been slower overall, but we
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are strategically using this period to deepen relationships, advance existing projects,
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and position our sites and infrastructure for future development. Morrow said.
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The view is similar at bee Inky Growth Partnership, which
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works to grow the Boone, Campbell and Kenton County segment
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of the Cincinnati Metropolitan Statistical Area or MSA. Quote. There
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is a great deal of uncertainty regarding the global geopolitical
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environment and tariffs in the United States, said Cheryl Bezel,
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vice president of Marketing. Despite that, b in Ky has
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seen its project activity increase recently in hosted site visits quote,
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we have seen strong interests in the region from certain
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target sectors such as pharmaceutical, aerospace, food and flavoring manufacturing,
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and the life sciences industry. Bezel said. The bee Ky
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team is initiating meetings with existing businesses and attending trade
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shows in the US and abroad to market Northern Kentucky,
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along with its partners at Ready Cincinnati and the Cincinnati
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Northern Kentucky International Airport cvg b E n KY has
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a range of workforce development initiatives, including an Ignite Institute
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to build STEM focused education that makes certain young women
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are welcome, and young men understand that manufacturing is cool.
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The economic development team at Commerce Lexington has seen slower
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project activity but robust economic development activity across Greater Lexington.
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In twenty twenty five, they report eight hundred and twenty
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one jobs and more than one hundred and sixty million
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dollars in investment so far this year. Quote. We expect
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that trend to continue regionally going into twenty twenty six,
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and as Lexington's new Legacy Business Park comes online, we'll
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see more announcements here locally, said CEO President Bob Quick. Quote.
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We have seen growth in our existing businesses, especially in
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the biotech and pharmaceutical areas. Commerce Lexington is a couple
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of years into pursuing a regionalization plan to unite the
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resources and impacts of nine counties with the population of
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more than half a million that includes Toyota's largest operation
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in the world and a major research university. It recently
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launched a new set of websites that invitingly present key
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data for each county individually and the region as a whole,
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showcasing it as a place to visit, live, work, start
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a business, or return home to the mount Sterling. Montgomery
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County Industrial Authority, Economic Development and Chamber of Commerce expects
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to see an increase in business investment the second half
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of twenty twenty five and twenty twenty six due to
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restoring activities with American manufacturing. Said executive director Jason S. Rainey. Quote,
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we are continuing to see stable levels on inquiries from
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companies making land and making investment in our community, he said.
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Next film Making Frenzy by Bob Babbage and Rebecca Hartzow.
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Kentucky is on the move to grow its burgeoning film industry.
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The annual economic impact is already in the hundreds of
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millions and is forecasts to grow. While the state has
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made the occasional major film on location over the decades,
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the frequency and interest of filmmakers and producers has exponentially
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increased in recent years. As television and movie making continue
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to decline in traditional hubs like California and New York,
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Kentucky has positioned itself to be a top state for
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industry development. Credit for this growth can largely be attributed
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to state leaders in the film and television arena, smart policy,
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and state funded incentives. In twenty twenty one, the General
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Assembly revived film tame credits, creating the seventy five million
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dollar annual Kentucky Entertainment Incentive KI. The program offers thirty
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to thirty to thirty five percent refundable tax credits for
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in state expenses with a ten million dollar project cap.
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The state first tried its hand in the film incentive
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space by passing a tax credit program in two thousand
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and nine. At that time, several states across the country
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were developing competitive film programs to attract production spending, create jobs,
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and stimulate local economies. Louisiana helped spark the trend back
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in two thousand and two. In states like Georgia, New Mexico,
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and New Jersey followed to build nationally recognized programs. Although
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Kentucky got in early on the financial inducement track, it
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was not until this year's passage of Senate Bill one
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that the state created a holistic infrastructure to support streamline
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and expand film and television production. SB one, championed by
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Senate President Robert Stivers, Republican Manchester and Senate Economic Development
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Committee Chair Philip Wheeler, Republican Pikeful, created the Kentucky Film
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Office KFO, housed within the Cabinet for Economic Development. The
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Film Office will be the centralized hub for the industry.
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The KFO will administer the state's tax credit program, optimize
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film and television coordination, market Kentucky's incentives and opportunities, and
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develop workforce training programs alongside the state's higher education institutions.
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We recently set down with President Stivers and Mary K.
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Poe to discuss the goals for Senate bill Ie Poe
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is the president of Louisville based Unbridled Films and is
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a key developer of the Kentucky Entertainment and Cenate program
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and the Kentucky Film Office. She is also an investor
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in the Louisville Gardens Project, a major redevelopment initiative aimed
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at transforming the long vacant historic arena into a state
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of the art film, music, and television production campus. Poe
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says she started lobbying heavily in Frankfurt for film industry
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development a little over six years ago. With incentives popping
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up all over the country and working, Poe wanted to
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bring the industry to Kentucky. Quote. Senator Stivers was the
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one to say, let's sit down, let's learn about this,
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said Poe. Quote he took the time to listen and
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learn and understand that this is a manufacturing industry with
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a lot of different occupations involved. I think he was
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intrigued by that. Stivers notes that his colleague Senator Mike Wilson,
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Republican Bowling Green and Senator Steve Meredith Republican Lichfield came
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to him in twenty twenty one advocating for the film
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tax credits. Despite the strong final motivators, Stivers and Poe
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both say no one was really promoting Kentucky as a
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location for film and TV projects on a state level.
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Quote we had the incentives, but not the infrastructure, said Stuivers.
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In April twenty twenty three, Poe and other state industry
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leaders got together and lay laid out what they felt
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would be a good structure unique to Kentucky. Quote there
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are three legs to the production stool, incentives, infrastructure, and workforce.
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With the incentives in place, we could focus on the
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other two. Stuivers notes, quote Mary Kay was the fuse
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to the powder keg end quote infrastructure, talent, and policy aligne.
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In twenty twenty four, legislative and executive leaders really began
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taking a hard look at what kind of support structures
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were needed to promote film and TV production as well
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as increase the necessity workforce. Stiver said many leaders weren't
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aware of what academic institutions like Asbury University, Berea College,
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Eastern Kentucky University, and Campbellsville University had already been doing
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in the film and television production space. For instance, at Asbury,
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Jim Owens, who is Dean of the School of Communication Arts,
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has worked on local, national, and international productions, including fifteen
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Olympic Games, bringing Asbury students with them. In addition, major
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investments in sound stages have been taking place in Lexington, Louisville,
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and now Northern Kentucky. Wriggly Media Group, headed by Key
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SB one advocate Ms D. Wrigley, has Lect Studios, the
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largest public youth studio in the state. POE is currently
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in the process of redeveloping downtown Louisville Gardens into a
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seventy million dollar sound stage facility. The project will include
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two sound stages, production offices, and a museum honoring the
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building's history. Creation of a huge studio for major film
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production is currently underway in Northern Kentucky, and a full
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service sound stage and production hub just opened in Owensboro.
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In fact, according to Stuivers and Poe, film and television
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production has occurred in eighty of Kentucky's one hundred and
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twenty counties. Quote. One of my favorite things is how
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decentralized this industry is, said Poe. It can help bridge
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the urban rural divide. The economic forecast for expanded film
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and TV production in Kentucky is highly positive. From increased
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tourism to occupational and hospitality taxes and increased revenue receipts,
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the state stands to gain income. State policymakers and leaders
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personal involvement with the industry will continue to have a
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significant impact. It's so important to have a relationship with
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state government. Poe added, it helps the industry realize that
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the incentives and support are stable and consistent. In quote,
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when asked what the General Assembly might do in the
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twenty twenty sixth legislative session, Stivers says, quote, it's too
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early to see what we need to do right now.
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With any decent sized legislation, you want to let it
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bake for a while. The Film Office was designed to
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be a one stop shop we want to see how
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it works in quote. In the meantime for leaders like
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Mary K. Poe, quote, it's a good time to get
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into the creative and technical industry. There's room for everybody
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and every business, every investor in quote. Now we turn
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to highlights from the fast lane column. Louisville. Eight hundred
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jobs coming to Kentucky as GE Appliances reshures production from China.
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GE Appliances, a Hayer company, is investing four hundred and
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ninety million dollars to reshort production in more than fifteen
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models of its GE profile front load washers and combo
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washer dryers from China to Louisville. The move will create
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eight hundred new full time jobs in Louisville. Manufacturing will
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take place in Building two, which built will be redesigned
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with advanced robotics, automation, and material handling systems. Production is
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slated to begin in twenty twenty seven. GE said the
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move aligns with its quote zero distant strategy to manufacture
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appliances closer to consumers, improving collaboration between designers, engineers, and
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manufacturing teams. The announcement builds on GE Appliance's four hundred
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and fifty million dollar expansion in twenty twenty one, which
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created over one thousand jobs and added new manufacturing lines.
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Since twenty sixteen, the company has invested more than three
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point five billion dollars in its US operations and contributed
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twelve point eight billion dollars to Kentucky's gross domestic product
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in twenty twenty three, according to the latest Economic Impact Report.
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Next summerset EKPC advances two gas power plants to boost
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Kentucky grid. East Kentucky Power Cooperative EKPC is moving forward
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with two key power projects to strengthen Kentucky's energy future.
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The Kentucky Public Service Commission recently approved ekpc's plan for
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Liberty Station, a flexible two hundred and fourteen megawatt natural
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gas plant in Ksey County near Liberty. Featuring twelve fast
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start engine generator sets. The plant will support grid reliability
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and renewable energy integration, serving about ninety five thousand homes.
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Construction begins in late twenty twenty six, with operation expected
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by twenty twenty eight, creating twenty one three jobs. In addition,
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EKPC has gained a key boost for its planned seven
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hundred and forty five megawatt natural gas unit at Cooper
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Station in Somerset, Kentucky, as grid operator PJM Interconnection fast
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tracked its review process. The MOOD prioritizes projects that can
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quickly enhance grid reliability and stability across pjm's thirteen state region.
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Set to come online by twenty thirty, Cooper Unit number
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three will support ekpc's efforts to meet growing demand and
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ensure twenty four to seven reliability for its one point
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one million Kentucky customers. The unit will complement existing coal
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fired capacity and offer dual fuel flexibility. The decision comes
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amid rising national concern about electric grid reliability as traditional
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dispatchable plants retire. A recent by the North American Electric
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Reliability Corps warned of elevated power shortage risks in over
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half of the US due to soaring demand and generator retirements.
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CEO Tony Campbell has repeatedly urged federal action to preserve
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grid reliability, citing regulatory and economic pressures on existing baseload power.
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This concludes the reading of the most recent Kentucky Business News.
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Your reader today has been Caroline Brown. If you have
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any questions or comments about this program, please give our
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Lexington Studios a call at eight five nine four two
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two six three nine Ozero, thanks for listening and now
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please stay tuned for more programming here on RADIOI