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Ljungström’s Plant, Which Previously Sold Parts To Coal-Fired Power Plants, Now Manufactures Components For Wind Turbines — Including Those That Will Be Used In NY Offshore Wind Projects — Showcasing How Fed Investment In Clean Energy Can Blow New Life Into Manufacturing Towns In Upstate NY

Fed Investment Schumer Secured Is Supporting Ljungström’s Pivot To The Clean Energy Industry And The Inflation Reduction Act Can Help Fuel The Company’s Continued Growth For Years To Come — With More New Jobs Expected In The Next Year

Schumer: Fed Investment In Clean Energy Is Blowing New Life Into Southern Tier & Western NY Manufacturing!

Following the one-year anniversary of the Inflation Reduction Act, U.S. Senate Majority Leader Charles E. Schumer today visited Ljungström’s Wellsville plant – after delivering a $1.5 million workforce development grant in 2021 to help power the company’s transition from coal to clean energy – to announce the company now projects to add over 50 new good paying jobs in Upstate NY in the next year.

Schumer met with company executives to see firsthand how the federal investment he secured is supporting Ljungström’s pivot to the clean energy industry, train workers, and discussed how the Inflation Reduction Act can help fuel the company’s continued growth.

“Powered by our Inflation Reduction Act, Ljungström’s Wellsville plant is blowing a gust of energy into one of Upstate NY’s most rural communities, breathing new life into the Southern Tier and Western NY’s manufacturing legacy and helping lead the way for a clean-energy economy.  Thanks to the $1.5 million workforce development grant I secured, Ljungström has seamlessly pivoted from coal technology to clean, renewable energy, all while creating good-paying jobs and bolstering our domestic supply chains,” said Senator Schumer. “Now Ljungström’s Wellsville plant projects to add over 50 new good paying jobs in the next year, spurred by the demand from the historic investments we made to boost clean energy manufacturing here in America. With the Inflation Reduction Act as the wind in its sails, Ljungström is primed to grow even more, helping Upstate NY manufacturing reach new heights.”

“We are thankful for the partnership between government and industry. Through the support of Senator Schumer, Appalachian Regional Commission, Alfred State, and the Allegany County Industrial Development Agency, we have diversified our business and brought good-paying jobs to the area. We look forward to an ongoing partnership that will enable continued growth for Ljungstrom and the community,” said Matt Ferris, Managing Director of Ljungstrom’s Wellsville Division.

“Senator Schumer has been a steadfast champion for manufacturing across the Southern Tier and Upstate New York. This innovative proposal will complement his longstanding efforts by providing small and mid-sized manufacturers with the resources and technical assistance services they need to access new opportunities in the clean energy economy. As the project’s lead regional MEP, AMT is proud to help manufacturers in New York’s fourteen Appalachian counties become more productive, profitable, and globally competitive,” said Carol Miller, Executive Director of the Alliance for Manufacturing and Technology (AMT).  

“Senator Schumer has led the charge to deliver historic investments in our nation’s infrastructure, clean energy, and domestic manufacturing. I look forward to working with my colleagues in New York to support small and medium sized manufacturers navigate new federal opportunities, enter new supply chains, retool factories, and undertake other activities that will help to create good-paying jobs in local communities,” said Petra Mitchell, President and CEO of Catalyst Connection.

Schumer explained that for decades, Ljungström’s plant in Wellsville sold parts to coal-fired power plants, but in part thanks to the federal investment he secured in 2021, now manufactures components for wind turbines, including those that will be used in downstate offshore wind projects. Schumer specifically helped power the company’s transition from coal to clean energy by delivering a $1.5 million workforce development grant, through the Workforce Opportunity and Innovation Act. WORC grants, through the U.S. Department of Labor, in partnership with the Appalachian Regional Commission, used to train workers for high-quality, in-demand jobs requiring specialized skills, such as welding, at significant area employers like Ljungström. Since the initial award, Ljungström has hired for over 100 positions, with more expected in the next twelve months, as the company continues to execute wind project contracts and agreements. Now, Schumer is working to spread awareness about how new federal incentives, made possible by the Inflation Reduction Act and other federal laws, can help fuel the continued growth of Ljungström and other manufacturers across Upstate New York.

Schumer added, “I’m proud to see how successful Ljungström has been, which is why I’m now fighting to secure even more federal funding to help train our workforce in the Southern Tier and help other domestic manufacturers access the incredible opportunities that the clean energy economy has to offer.”

Schumer said that the application submitted by Catalyst Connection to the Appalachian Regional Commission’s (ARC) Appalachian Regional Initiative for Stronger Economies (ARISE) Initiative, titled “Manufacturing the New Energy Economy in Appalachia,” requests $10 million, matched by over $7 million in local funding, to help small- and medium-sized manufacturers across a five state area access clean energy manufacturing opportunities. The proposal includes all 14 of New York’s Appalachian counties: Allegany, Broome, Cattaraugus, Chautauqua, Chemung, Chenango, Cortland, Delaware, Otsego, Schoharie, Schuyler, Steuben, Tioga, and Tompkins.

In particular, the proposal will conduct a supply chain and regional asset mapping initiative to identify opportunities for clean energy manufacturing and supply chain expansion. The project will also provide direct support of up to $10,000 per eligible company to cover pre-development costs and other expenses before a company launches or expands into new production and supply lines. Finally, the core focus of the proposal is for Manufacturing Extension Partnership (MEP) centers to provide technical assistance to small- and medium-sized manufacturers looking to expand into the clean energy economy, including through workforce training strategies, factory retooling assessments, and product line launch and expansion assistance. The project is estimated to engage with approximately 10 percent of manufacturing companies located in the five state region, or approximately 1,085 companies over the project period.

The Inflation Reduction Act provided billions for a clean energy and climate smart economy, including investment for solar, wind, electric vehicle, battery, and green building technologies. Schumer said the Inflation Reduction Act also included a series of new incentives such as the Advanced Manufacturing Investment Tax Credit, which companies like Ljungström can potentially take advantage of. The new credit will support companies that domestically manufacture energy technologies. For instance, wind turbine component manufacturers are primed to benefit, with the credit supporting the production of blades, towers, distributed wind inverters, as well as both fixed-bottom and floating offshore wind platforms. The Inflation Reduction Act includes as part of the Production Tax Credit and Investment Tax Credit bonus credits for projects that use products manufactured in the U.S. for clean energy deployment, giving a further boost to the clean energy domestic manufacturing supply base, including companies like Ljungström.

Schumer explained that while there are even more opportunities for manufacturing, supply chain expansion, and good-paying jobs in areas like the Southern Tier and Western New York, some manufacturers need help identifying how best to get involved in the rapidly growing clean energy economy, by accessing new federal programs, and making production lines more efficient, or even retooling factories when undergoing transitioning to clean technology manufacturing, similar to that made by Ljungström. Small- and mid-sized manufacturers often lack the capacity and resources needed to harness these opportunities, requiring the assistance of community partners who are able to provide robust technical assistance, which is where this over $17 million in funding will come in to support New York’s clean energy manufacturers. 

A copy of Senator Schumer’s letter of support to the ARC appears below:

Dear Co-Chair Connelly Manchin:

I am pleased to write in support of the application submitted by Catalyst Connection to the Appalachian Regional Commission’s (ARC) Appalachian Regional Initiative for Stronger Economies (ARISE) Initiative. Catalyst Connection’s proposal, “Manufacturing the New Energy Economy in Appalachia,” has been submitted on behalf of communities in five states, including New York’s 14 Appalachian counties, and will help strengthen the clean energy economy.

The project is designed to help small- and medium-sized manufacturers access opportunities in the clean energy economy by providing technical assistance services and other resources needed to bolster their competitiveness. The project includes activities focused on green manufacturing, supply chain diversification, and workforce development that will be administered by a coalition of partners, including NY-based FuzeHub and the Alliance for Manufacturing and Technology (AM&T).

Last year, I delivered significant federal investment to transform the Southern Tier of New York into a national hub for battery research, innovation, and manufacturing. The “Manufacturing the New Energy Economy in Appalachia” initiative has broad, supporting linkages to this effort and presents an opportunity to boost Made in America clean energy manufacturing and create good-paying jobs.

I applaud Catalyst Connection for its foresight and sincerely hope the application is met with your approval. If you have questions, please do not hesitate to contact me or my grants coordinator in my Washington, DC office at (202) 224-6542. Thank you for your consideration.