There has been a growth in the past few years when it comes to the carbon fiber market. Carbon fiber is used in numerous type of products, including sporting good equipment and aerospace. The Japanese company, Mitsubishi Rayon Company Ltd. had developed a project, costing $70 million, which they expect will double production of carbon fiber at their industrial site. Their plant is located in South Sacramento and is currently a 65,000 square foot, heavy industrial site, at 5900 88th Street.
Company adds to their current plant
Mitsubishi Carbon Fiber and Composites says that the project will add 70,000 extra feet for manufacturing, maintenance, and warehouse space to its current location. In addition, the company also plans to build a two-story, 16,000 square foot building. This building will replace two older office trailers already on site, and serve as the new office building. The company is expected to spend about $30 million for the new building, while machinery and equipment can cost another $30 to $40 million. On site work began a couple months ago, and is expected to be finished by mid 2016.
Expansion means more jobs
Currently, the Sacramento plan has a 120 person workforce, which is not enough with the expansion of the plant. Once the plant opens, they will require about 50 more people to employ. Even though it might not seem like a lot, adding 50 additional jobs to the area is great for the community. Recently, the state of California’s unemployment rate decreased. California is seeing a growth in jobs in industrial and manufacturing fields. Adding 50 new jobs to the Sacramento area will only help in keeping the unemployment rate down throughout the entire state.
Mitsubishi’s growth and how they use carbon fiber
Mitsubishi Rayon Carbon Fiber and Composites Inc. is an Orange County form subsidiary of the Japanese industrial Mitsubishi company, and has been located in Sacramento since 1980. Once known as Grafil Inc. Mitsubishi Rayon had a name change, after being acquired by Mitsubishi in 1991, which is when it became a subsidiary. It remained Grafil, up until April 2013. This is when Mitsubishi merged Grafil and Newport Adhesives and Composites Inc., and became known as it stands today, Mitsubishi Rayon. Carbon fiber produced at their Sacramento plant is used to make wind-turbine blades, robot arms, golf clubs, and fishing rods. Automotive manufacturers actually use carbon fiber to replace metal parts in order to cut weight. The company says they have noticed a strong demand for this in their plant. In addition, there has been growth in pressure tanks needed to hold gas or liquid. Carbon fiber-reinforced pressure vessels are being used for compressed natural gas fuel tanks. There has been a rise in large busses and trucks converting to compressed natural gas in order to increase cost efficiency.
It is easy to see why Mitsubishi Rayon Company wants to expand their Sacramento plant. In doing so, they will be able to double annual production totals of carbon fiber. With the increased need for carbon fiber because of its many uses, the development of the Sacramento plant is sure to bring success to the company.