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Constellium/UACJ

Industry:
Automotive

Services:
Location Benchmarking
Site Selection
Technical Site Due Diligence

Investment Amount:
$150,000,000

Location:
Bowling Green, KY

The Need 

In 2013, Constellium, an aluminum production company, engaged Global Location Strategies to use their site selection expertise to help them expand their body-in-white aluminum sheet production in North America. With North American automakers expected to triple their use of aluminum sheet in automobile production by 2015, Constellium had obvious motivations for locating a plant in the region. Important criteria specific to this project, a joint venture with UACJ Corporation, included proximity to automotive manufacturers, availability of skilled workforce, taxes, and incentives

The Solution

The project began with an evaluation of existing greenfield sites and an additional search for brownfield location. The site qualifications were used to eliminate sites that did not meet the required criteria. A preliminary SWOT analysis was then performed on each of the remaining sites. After refining the quality and cost analysis, GLS focused the search on four greenfield sites located between Clarksville, TN and Bowling Green, KY. The GLS team recommended the Bowling Green site at the end of 2013.

Constellium announced their facility in Bowling Green, Kentucky in 2014. When in operation, the initial target capacity will be 100,000 tons, but will allow for expansion beyond this amount. Total joint investment is expected to be approximately $150 million. Production will begin in the first half of 2016 and reach full capacity by 2018.