Production facility will be company’s first location in the United States
FRANKFORT, Ky. (June 26, 2025) – Today, Gov. Andy Beshear highlighted new momentum within the state’s plastics and manufacturing sectors as E. Hofmann Packaging, a Canadian-based plastics packaging producer, plans to locate its first U.S. operation in Hopkins County, a $43 million investment creating 164 quality Kentucky jobs.
“Team Kentucky’s manufacturing sector continues to play a major role in our state’s soaring economy,” said Gov. Beshear. “Once again, a quality international company has chosen to expand and do business in our New Kentucky Home, taking advantage of our unique location and talented workforce. I want to thank the leadership of E. Hofmann Packaging for their belief in this great state and look forward to their future success in Hopkins County.”
In order to meet the needs of increased consumer demand and the company’s growing U.S. customer base, E. Hofmann Packaging plans to construct a production facility in Madisonville. The $43 million investment will include the construction of a 100,000-square-foot building, new equipment, machinery, automation and molds. Construction is expected to begin this year and be completed in 2026. The facility will serve as the company’s second production facility and first operation in the U.S, and will create 164 new, quality jobs.
“We are thrilled to announce the opening of our new state-of-the-art factory in Madisonville, marking a significant milestone as our first U.S. facility,” said E. Hofmann Plastics President and CEO Paul Kalia. “We are deeply honored to join this vibrant community and tap into its talented workforce. The enthusiastic support and collaboration from local and state authorities have been exceptional, making this expansion a reality. This facility strengthens our commitment to becoming a leading player in the North American market, and we look forward to building lasting relationships and driving economic growth in Madisonville.”
E. Hofmann Packaging USA LLC, is a wholly owned subsidiary of E. Hofmann Plastics Inc., based in Ontario, Canada. Established in 1984, Hofmann Plastics has over 40 years of experience as a rigid plastic packaging producer. In the late 2000s, the company diversified its services to include extrusion and thermoforming with a stronger emphasis on food customers. Since 2010, the company has doubled in sales every five years, with the food and beverage industry representing over 50% of sales.
Hopkins County Judge/Executive Jack Whitfield noted the economic impact the project will have on the region: “Hopkins County is extremely excited to have a new manufacturer coming to our area. As a central hub in Western Kentucky, the economic benefit we experience here will be felt across the entire region. In today’s competitive economy, counties must be aggressive and prepared to grow. We have seen a lot of growth in Hopkins County over the past few years, and our ongoing ambition continues to make us a very attractive location for companies looking to expand. With the help of the Governor, legislature, Mayor Cotton, the Hopkins County Economic Development Corporation and the Kentucky Cabinet for Economic Development, we are moving forward and will continue to see progress for years to come in Hopkins County.”
Madisonville Mayor Kevin Cotton highlighted the project’s role in the community’s continued economic growth: “We’re thrilled to welcome E. Hofmann Packaging’s expansion to Madisonville. This project marks a significant milestone in our ongoing economic growth, bringing new jobs, bolstering our manufacturing base and creating opportunities for local families. It’s a testament to the strength of our partnerships –between the city, the county, economic development, state agencies and private industry – and it underscores our commitment to building a vibrant, prosperous future for the city of Madisonville.”
Wade Williams, president of the Madisonville-Hopkins County Economic Development Corp. is excited to welcome the company to the area: “Our economic development team is proud to assist E. Hofmann Packaging expand its operations to the United States. This successful, family-owned business could have moved anywhere, but we are glad they wanted to be a part of our increasing growth. We think that E. Hofmann will be the first of many new industries to choose Madisonville and Hopkins County.”
Bill Rudd, outgoing president of the Madisonville-Hopkins County Economic Development Corp., looks forward to the company joining and adding to the community’s skilled workforce: “It’s been an honor to work alongside our partners throughout the entire process of bringing E. Hofmann Plastics to Madisonville. As a family-owned company that truly invests in its communities and values its people, Hofmann represents exactly the kind of employer we strive to attract. Their impressive growth – doubling sales in just a few years through smart automation – hasn’t just improved efficiency, it’s created more opportunities to reward their employees. That commitment to both innovation and people make them a tremendous addition to our community.”
E. Hofmann Packaging’s investment and job creation build on the best five-year period for economic growth in state history.
Since the beginning of his administration, Gov. Beshear has announced nearly 1,200 private-sector new-location and expansion projects totaling roughly $36 billion in announced investments, creating close to 62,000 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history and nearly $15 billion more than the next highest total.
The robust job creation has been accompanied by rising wages across the commonwealth. Since 2022, the average incentivized hourly wage has topped $26 in three consecutive years for the first time.
Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and Shelbyville Battery Manufacturing’s $712 million investment, creating 1,572 jobs in Shelby County, among others.
The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund. In 2023, Kentucky recorded over 2 million jobs filled for the first time ever and has stayed above that number ever since.
Kentucky also secured rating increases from major credit rating agencies Fitch Ratings, S&P Global Ratings and Moody’s Investors Service.
Earlier this year, Site Selection magazine ranked Kentucky in the top five nationally and second in the South Central region for economic development projects per capita in its 2024 Governor’s Cup rankings. Last April, Site Selection placed Kentucky second in the South Central region and in the top 10 nationally in its 2024 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.
Gov. Beshear also announced a new initiative, called New Kentucky Home, to increase economic investment, attain and attract talent, and increase tourism across the state.
To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) today preliminarily approved a 15-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $2.3 million in tax incentives based on the company’s investment of $43 million and annual targets of:
- Creation and maintenance of 164 Kentucky-resident, full-time jobs across 15 years; and
- Paying an average hourly wage of $28, including benefits, across those jobs.
Additionally, KEDFA approved E. Hofmann Packaging for up to $300,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.
In addition, E. Hofmann Packaging can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.
For more information on Hofmann Plastics, visit hofmannplastics.com.
A detailed community profile for Hopkins County can be viewed here.
Information on Kentucky’s economic development efforts and programs is available at NewKentuckyHome.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.
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