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Manufacturing Technology Insights | Saturday, May 23, 2020
The new facility will manufacture plastic compounds mainly for pipette tips to meet the rising demand and high-quality demands for diagnostic testing.
FREMONT, CA: With the rise of the COVID-19 Pandemic, there is a huge demand for test kits. It was becoming harder to meet the people's demands for the constant need for supply. Customers expect to get a test kit that meets the standard quality and is cost-effective. Premix, Inc. was granted a $79.9 million contract by the United States Department of Defense and the Department of Health and Human Services to develop a plastic compound manufacturing factory in North Carolina. The facility's primary purpose will be to manufacture plastic materials for diagnostic testing. In Gaston County, a new facility will be developed, strategically placed in the expanding advanced manufacturing region of the southeast United States, and is expected to be operational by September 2025.
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The Managing Director of Premix Group, Hanna Ristola, says, "Our hard work in building resilient supply chains, high product quality and consistency pays off as the U.S. government awarded Premix the deal to build a local manufacturing site."
Premix Group, established in Finland, is a market leader and global forerunner in electrically conductive plastics. During the COVID-19 Pandemic, Premix secured the availability of the electrically conductive plastic resin necessary to create pipette tips, ensuring widespread PRC tests. The additional manufacturing capacity will produce more than 200 million COVID-19 PCR tests each month.
Premix's North American customers will benefit from local production and services, ensuring faster delivery and excellent reliability. Customers in other parts of the world will benefit from Premix's capacity to offer high-quality materials from two continents. When fully operating, the facilities will employ around 30-35 people in Gaston County, North Carolina, and support additional jobs with service providers and subcontractors during construction and operation. Some hiring has already begun.
The President and CEO of Premix, Inc., Jari-Matti Mehto, says, "The new capacity will improve Premix's global supply capability and mitigate risks in global supply chains. With the new U.S. factory, we will improve our ability to serve our customers in the important U.S. market."
Mehto adds, "We are extremely excited about this opportunity to help secure a supply of critical diagnostic materials in the United States. Our solutions meet strict standards for quality and cost-efficiency and provide valuable benefits to our new and existing customers."
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