The Spanish textile company Fluvitex will open its first U.S. factory in Groveport Oct. 3 to make pillows, quilts and other products for Ikea.
The 123,588-square-foot facility at 6510 Pontius Road is expected to bring about 80 new jobs to the region.
"In this factory, we will produce about two-thirds of the quilts, cushions and pillows sold (by Ikea) in North America," said Nora Zullo, purchasing and logistics area manager of Inter Ikea.
Fluvitex, through its American subsidiary Fluvitex USA, has invested $8 million in machinery and equipment in the plant. Total investment will reach $12 million, including construction, inventories and IT infrastructure.
The factory's central Ohio location will provide "shorter transportation distances and a lower energy consumption per output," Zullo said.
That, in turn, could mean "even further lower prices for the Ikea customers in North America."
Fluvitex is a subsidiary of Masias, a Spain-based company with more than 75 years of experience in the textile industry.
"Fluvitex's decision to set down roots in Groveport continues to validate the Columbus region's position as a leader in manufacturing," Jeff Green, Groveport finance director and assistant city administrator, said in a news release.
"Adding a new manufacturer will further diversify the local economy and provide quality jobs for our residents."
The Ohio Tax Credit Authority approved a 1.6 percent, five-year tax credit worth $300,000 if Fluvitex creates all the jobs it anticipates and meets other terms of the agreement.
The city announced in September 2017 that Fluvitex would lease space in the Northpointe II building at Rohr and Pontius roads and anticipated creating 350 jobs over three years.
Green said then the company's total annual payroll was expected to be $4.1 million for a workforce that would include approximately 75 percent factory jobs and 25 percent management and specialty workers.
"The Columbus region provides the cost-effective business climate and high-skilled workforce we need as we enter into the U.S.," Fluvitex general manager Jaume Burgell said last year. "Groveport's strategic access to the U.S. market will enable easy movement of goods and U.S. expansion."
ThisWeek reporter Scott Gerfen contributed to this story.