US fabrication mill Kaiser Aluminum has decided to move its headquarters from Foothill Ranch, California to Franklin, Tennessee. The move is estimated to cost around $3mn.
According to media reports, the company will hire 80 new employees for this new location. Keith Harvey, chief executive officer at Kaiser, said that the relocation will help the company establish a stronger presence in the region and get better access to skilled manpower as well as a corporate-friendly environment.
Since most of the aluminum businesses function within the Midwest, this move benefits Kaiser. With a recent surge in freight prices, the regional disparity has become a big issue in the industry. Perhaps, this move will help the company mitigate some of these costs.
Kaiser operates 12 facilities across North America, with a combined annual output of more than 600mn lbs (272,155mt). It produces extrusion, sheet, and plate products, serving the auto, aerospace, and industrial sectors.