A manufacturer of fabrics used in diapers, cleaning wipes and other products will open a new production plant in Mecklenburg County.
Shalag US Inc. will invest $16.6 million and create 52 jobs in the town of South Hill, according to a news release Thursday from Gov. Glenn Youngkin. The Oxford, North Carolina-based company is a subsidiary of Israel-based Shalag, which was founded in 1983.
In August, Shalag US bought a 154,000-square-foot building and associated property in the South Hill Industrial Park for $5.75 million, according to county records. The site was formerly occupied by Global Safety Textiles, which closed its location there in 2021.
Rodney Clayton, CEO and general manager of Shalag US, said in the news release that the new manufacturing line will increase the company’s overall production capacity in the U.S. by 25%.
“Some factors in the purchase of the South Hill location are the strategic location, the company’s objective to reach more customers, and the ability to diversify its portfolio,” Clayton said.
In addition to diapers and wipes, the company’s nonwoven fabrics are also used in feminine hygiene and air filtration products; the governor’s news release touted them as having “superior absorption, softness, and comfort compared to traditional materials.”
Clayton did not respond to an email inquiry Thursday about when the South Hill plant would begin operating.
The Virginia Economic Development Partnership worked with Mecklenburg County and Virginia’s Growth Alliance, a regional economic development organization, to secure the project. Youngkin approved a $117,460 state grant to the county, and the company is eligible for state enterprise zone benefits and support for employee training.
Youngkin said he is “gratified to see another international company select Virginia for a new U.S. facility, reinforcing the strategic advantages a Virginia location offers.”
“The creation of 52 new jobs will help this region continue its economic comeback while also demonstrating the resurgence of manufacturing that is happening across Virginia,” Youngkin said in the news release.
