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Gov. Glenn Youngkin announced in a Thursday, Jan. 11 press release that Solenis, a leading global producer of specialty chemicals for water-intensive industries, will invest $193 million to expand its operation in the City of Suffolk. The company will build a new 80,000-square-foot production facility, packaging facility, and tank farm and add a new rail spur to accommodate the production of polyvinyl amine (PVAm) polymer products used in paper and cardboard manufacturing. This new facility will be used to grow the existing polymer product line and add additional capacity of this critical monomer to the existing supplier. Virginia successfully competed with Georgia and Texas for the project, which will create 34 new jobs.

“Solenis is a global leader in the specialty chemical industry with a 40-year history in the City of Suffolk, and this major investment and expansion demonstrates that manufacturing is thriving in the Commonwealth of Virginia,” Youngkin said. “Hampton Roads has the skilled workforce, business climate, and logistics advantages, including our world-class port, to enable Solenis to add significant capacity to supply the international paper manufacturing market.”

The Virginia Economic Development Partnership worked with the City of Suffolk and the Virginia Department of Rail and Public Transportation to secure the project for Virginia. Governor Youngkin approved a $275,000 grant from the Commonwealth’s Opportunity Fund to assist the City of Suffolk with the project. The company is also eligible to receive Port of Virginia tax credits and benefits from the Rail Industrial Access Program, subject to approval by the Commonwealth Transportation Board.

Solenis CEO John Panichella discussed the expansion and how it fits the company’s commitment.

“This investment is part of our ongoing commitment to provide value for customers while helping them advance their sustainability initiatives,” Panichella said. “As demand rises for sustainable manufacturing operations, this new facility not only ensures we have capacity to supply the paper packaging market, it will also help us diversify into other applications that can drive additional growth.”

“I’m thrilled to introduce a significant $193 million expansion by Solenis to their manufacturing facility in Suffolk,” said Suffolk Mayor Michael Duman. “This substantial investment marks a significant step forward in our economic development and underscores our unwavering commitment to innovation. This state-of-the-art facility is set to not only bring about the creation of approximately 34 new job opportunities, strengthening our local workforce, but will also significantly boost our production capacity for essential raw materials. We foresee a promising future in collaboration with Solenis.”

“There is significant competition to have a company like Solenis invest and expand its operations,” said Stephen A. Edwards, CEO and executive director of the Virginia Port Authority. “Having The Port of Virginia, the nation’s most modern gateway, as your logistics partner and the ability to expand in neighboring Suffolk are critical factors in these kinds of decisions. This expansion is going to help drive import and export growth here and we are ready to work with Solenis to ensure that its cargo is handled with smooth, safe efficiency.”

“I welcome this $193 million investment by Solenis to their manufacturing facility in Suffolk. The jobs created as a result of this investment are vital to our workforce. Creating a robust economy and prioritizing workforce development initiatives is a key priority to growing opportunities in our region,” said Senator Emily Jordan. ”I remain committed to continually fostering a regional pro-business economy that focuses on adding good-paying jobs to Suffolk.”