Office of the Governor Rick Perry

Gov. Perry Announces Borusan Mannesmann Pipe to Create First U.S. Manufacturing Facility, 250 Jobs in Chambers County

Tuesday, April 02, 2013  •  Austin, Texas  •  Press Release

Gov. Rick Perry announced that Borusan Mannesmann Pipe will expand its manufacturing operations to the U.S. with a steel pipe plant in Baytown, creating 250 jobs and $148 million in capital investment. The state is providing $1.6 million through the Texas Enterprise Fund (TEF) to close the deal on this project.

"Texas continues to be a leader in energy production, supplying not just the oil and gas that fuel our cars, homes and businesses, but also the products and workforce necessary to support domestic drilling in the U.S.," Gov. Perry said. "With the help of competitive incentives like the TEF, Texas continues to attract employers from across the country and around the world to expand within our borders, creating jobs and opportunity and further strengthening our economy."

Headquartered in Turkey, Borusan Mannesmann is a global leader in steel pipe production for a variety of industries, including oil and gas drilling and transmission, with current production of around one million tons of pipe products. The Baytown facility will produce casings used to secure oil wells and tubing to extract gas and oil from the ground, adding 300,000 tons of manufacturing capacity.

"This investment will establish Borusan as a local manufacturer in the U.S. market," Borusan Chairman A. Ahmet Kocabıyık said. "This investment is the beginning of a new era, not only for economic relations between the U.S. and Turkey, but also for our steel sectors. I would like to extend our sincere appreciation to the Texas Governor's Office for their immense support during and after the decision making process."

"The creation of 250 jobs is a significant number of new jobs in a modest-size county of less than 40,000 people," Sen. Williams said. "These are great jobs that will support families. I welcome Borusan Mannesmann Pipe to Southeast Texas. We're glad to welcome the jobs and the capital investment and appreciate the governor's help in attracting this company to our state."

"Borusan Mannesmann's expansion into Chambers County, and Texas in general, is a testament to the prosperous business climate our state offers," Rep. Eiland said. "I am excited about the expansion, and I am fully supportive of Borusan Mannesmann's decision to bring additional jobs and added revenue to my constituents back home."

The Legislature created the TEF in 2003 and has re-appropriated funding in every legislative session since then to help ensure the growth of Texas businesses and create more jobs throughout the state. TEF projects must be approved by the governor, lieutenant governor and speaker of the House. The fund has since become one of the state's most competitive tools to recruit and bolster business. To date, the TEF has invested nearly $490 million and closed the deal on projects generating more than 67,000 new jobs and more than $19.9 billion in capital investment in the state.

For more information about the TEF, please visit Texas Wide Open for Business.

 

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